Any agreement (with the exception of the agreement with Italy) provides an exception to the territorial rule, which aims to minimize disruptions in the career of workers whose employers temporarily send abroad. Under this exception for „self-employed workers,“ a person temporarily transferred to work for the same employer in another country is covered only by the country from which he or she was seconded. A U.S. citizen or resident, for example, who is temporarily transferred by a U.S. employer to work in a contract country, remains covered by the U.S. program and is exempt from host country coverage. The worker and employer only pay contributions to the U.S. program. To submit a right to U.S. or French benefits as part of the agreement, follow the instructions in the „Benefits Rights“ section. To justify your exemption from insurance coverage under the US social security system, your employer must apply in France for a certificate of coverage (form SE-404-1 or SE-404-2) from the French local health insurance authority that deducts your social security contributions in France. Most U.S. agreements eliminate dual coverage of autonomy by allocating coverage to the worker`s country of residence.
For example, under the US-Swedish agreement, an American citizen living in Sweden and living in Sweden is covered only by the Swedish system and is excluded from US coverage. A list of countries with which the United States currently has totalization agreements and copies of these agreements can be accessed under U.S. international social security agreements. Agreements to coordinate social protection across national borders have been commonplace in Western Europe for decades. This is followed by a list of the agreements reached by the United States and the effective date of each. Some of these agreements were then revised; The date indicated is the date on which the original agreement came into force. If you are self-employed and normally have to pay social security taxes to the U.S. and French systems, you can set your tax exemption by letter to: In addition, your employer must indicate whether you remain an employee of the U.S. company during your activity in France or if you should become an employee of the subsidiary of the American company in France. If you become a related company, your employer must indicate whether the U.S.
company has entered into an agreement with the Internal Revenue Service pursuant to Section 3121 (l) of the Internal Revenue Code to pay U.S. Social Security taxes for U.S. citizens and residents employed by the subsidiary and, if so, the effective date of the agreement. If you do not wish to be entitled to benefits but want more information about the agreement, write:The following table shows whether the U.S. or French Social Security covers your work. If U.S. Social Security covers your work, you and your employer (if you are an employee) must pay U.S. Social Security taxes.
If the French system covers your work, you and your employer (if you are an employee) must meet France`s contribution requirements. The following section explains how you get a country guarantee certificate that proves that you are exempt in the other country. This agreement may be amended in the future by complementary agreements which, as soon as they come into force, will be considered an integral part of this agreement. These endorsements can be entered into retroactively if they specify. One of the general beliefs about the U.S. agreements is that they allow dual-coverage workers or their employers to choose the system to which they will contribute. That is not the case. The agreements also do not change the basic rules for covering the social security legislation of the participating countries, such as those that define covered income or work.