Special exemption scheme
for expatriate employees
The tax regime for expatriates is open to any person
resident for tax purposes in Saint-Martin, regardless of
nationality, coming to work in Saint-Martin and who has
not been a tax resident in Saint-Martin during the five
calendar years prior to taking up their position.
The person must have been called to work in a company
in Saint-Martin (regardless of the nationality of the host
company). To immediately benefit from this exemption,
the person must fix their tax residence in Saint-Martin
by 31 December of the year following the year they take
up their position (i.e. no later than 31 December 2016,
for a position taken up in Saint-Martin during 2015).
This exemption scheme for expatriates applies for up
to five years starting from the year following the year
they take up their position.
Expatriates benefit from tax exemption:
firstly, on any addition to remuneration directly related
to the exercise of their professional activity in Saint-
Martin (expatriation bonus) for the actual amount or,
as an option and only for persons directly recruited
abroad, for a fixed amount corresponding to 30% of
the total net pay;
secondly, the fraction of compensation (base salary and
potentially supplements to earnings) corresponding to
activity carried out abroad, if any, provided that trips
abroad are in the direct interest and for the exclusive
benefit of the employer.
Exemptions are capped at 50% of total remuneration.
A skilled employee, employed by a
company based in the United States is
seconded by his employer to a company
based in Saint-Martin with effect from 1
January 2016. They regularly travel abroad
for professional reasons.
Their net annual remuneration for 2016
including an “expatriation
Their remuneration related to work
carried out abroad amounts to
The following are exempt from income
tax for the year 2016:
the “expatriation bonus” (€60,000);
the remuneration corresponding to work
carried out abroad (€33,000).
This amount being less than 50% of
total remuneration, which is
(200,000 x 50%), the amount exempt is
MARCH 2015 EDITION
TAX INCENTIVES FOR YOUR EMPLOYEES