Posted workers: requirement to produce A1/COC forms during inspections conducted in France

The French social security financing law for 2017 has created a new requirement for the posted workers.

The new article L114-15-1 of the French social security code increases employers’ obligations by stipulating that workers performing salaried or self-employment in France while belonging to another State’s social security system must have their certificate of applicable social security legislation, available for inspection officials at their workplace.

It enters into force on April 1st, 2017.

The A1 or COC form can be produced:

  • by the worker,
  • or, for salaried workers, by their employer or the latter’s representative in France,
  • or by the prime contractor located in France for whom services are being provided.

In case of a failure to produce an A1/COC form or an A1/COC form request during an inspection, a penalty will apply. The penalty will be collected by the organizations in charge of collecting the social security contributions (URSSAF).

The amount of the penalty is based on the current monthly social security ceiling (as of January 1st, 2017, EUR 3 269). This amount will be doubled if the failure to produce an A1 form or A1 form request lasts for 2 years.

The penalty is not applicable if proof of submission of a request for the form is provided at the time of inspection, and the form issued as a result of that request is produced within a two-month period following the inspection.

Diane Artis

Diane Artis, Partner, has over 20 years’ experience in French and international individual income tax matters. She assists leading worldwide companies in French individual tax matters, including income tax consequences […]