Employ staff in France without a permanent establishment
Withholding tax compliance for your employees in France, PASRAU filing, and management of social security contributions with the relevant bodies.
Any foreign company paying salaries to workers in France, without having a permanent establishment there, must register with the French tax authority for withholding tax (PAS) — whether or not that company is already registered for VAT in France. PAS is an autonomous obligation, distinct from VAT. A company may be subject to it without having any VAT obligation in France.
This registration requires obtaining a SIRET number, creating a business account on impots.gouv.fr, and appointing an accredited tax representative for PAS — unless exempt (companies established in the European Union, the European Economic Area, or a country with a mutual administrative assistance agreement with France). If your company already has a tax representative for VAT, the same representative can be extended to cover PAS (Article 302 decies of the French Tax Code); otherwise, a dedicated PAS representative is appointed independently.
Filing is then carried out through the PASRAU flow, specifically designed for collectors without a French bank account. AFC handles the calculation and monthly transmission of the withholding rate, as well as net salary payments and social security contributions to the relevant bodies: URSSAF, pension funds, health insurance, welfare schemes, and occupational health services.
Are you affected?
- Foreign company employing one or more staff members in France
- No permanent establishment in France
- Salary payments subject to French withholding tax
- Obligation to contribute to French social security bodies (URSSAF, pension, health insurance…)
- No exemption from the tax representative requirement (non-EU/EEA company, no administrative assistance agreement with France)
How we proceed
Review and register your company
Assessing your situation, obtaining a SIRET number if needed, and creating your business account on impots.gouv.fr.
Appointing your PAS tax representative
Extending your existing VAT representative if you have one, or appointing a dedicated representative if your company isn't already represented for VAT.
Tailored PASRAU filing
Setting up the PASRAU filing flow for collectors without a French bank account.
Calculation, salary and contribution payments
Calculating and monthly transmitting the withholding rate to the DGFiP, paying net salaries and contributions to URSSAF, pension funds, health insurance, welfare schemes and occupational health services.
Frequently asked questions
What is a collector without a French bank account?
It refers to a foreign employer paying salaries in France without holding a bank account domiciled in France, which requires a specific PASRAU filing process.
Do I need to be VAT-registered to comply with PAS?
No. PAS is an autonomous obligation, distinct from VAT. A company may be subject to it without having any VAT obligation in France. A dedicated PAS representative is then appointed independently.
Who handles the payment of social security contributions?
AFC handles the payment of net salaries and social security contributions to the relevant bodies on your behalf.