Understanding Treaty Benefits & Exceptions

Not all treaties work the same way. Some allow streamlined procedures, others require detailed proof of tax liability.

1. Countries where France does not require proof of tax liability

For certain jurisdictions, France does not require confirmation that the entity is taxable in its home country. Examples include: • Belgium • Morocco • Cameroon • Malawi • Mali • Mauritania • Malaysia • Qatar • United Arab Emirates • Senegal • South Africa • Togo • Zambia (and others listed in the CERFA guidance)

For these countries: • proof of residency is sufficient, • Box IV certification is still recommended but may be simplified, • the CERFA 5000 remains mandatory.

2. Special entity categories

Some treaties provide simplified treatment for: • U.S. 501(c)(3) non-profit organisations • Swiss foundations under specific agreements • Canadian and U.S. pension funds • European UCITS / investment funds (partial treaty benefits) • Dutch pension funds (special reduced rate)

These entities may be treated as treaty residents without needing to prove tax liability.

3. U.S. residents

Requirements: • Form 6166 (IRS residency certificate) • CERFA 5000 signed by the client • No Box IV certification needed because Form 6166 replaces it

Outcome for royalties: 0 percent withholding under the France–USA treaty.

4. UK residents

Requirements: • HMRC Certificate of Residence • CERFA 5000 • CERFA 5003 if required

Outcome: 0 percent withholding if documents are valid.

5. No treaty with France

Examples: • Hong Kong • Saudi Arabia • Taiwan (partial exceptions may apply depending on structure)

Outcome: 25 percent withholding applies automatically.

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