What are UK ‘government’ pensions?
Find a list of relevant sectors
The term ‘government pension’ concerns how the pension is treated with regard to the UK/France double tax treaty. It refers to these under the heading of ‘government service’ in the English version and ‘fonctions publiques’ in the French.
The treaty says it relates to pensions paid out of a fund set up by central or local government or a French ‘statutory body’ (eg. government agency) to pay pensions to people who have given service to them. They are taxable only in the country that pays them unless you live in the other country and are a national only of that country (ie. a person who is only French and lives in France is taxed in France on a UK government pension).
Article 24 states, however, that incomes of residents of France, that are taxable only in the UK, can be ‘taken into account’ by France as part of the overall calculation of French tax, with a tax credit given to annul French tax on the income (which should be declared pre-UK tax).
Government pensions include those paid to retirees in these sectors (most also have the state pension):
Armed forces and army officers’ widow/er/s
Civil service
Fire service
Forestry Commission
Local Authority (apart from ‘trading’ roles, eg. Water
Board and CEGB)
National Assembly for Wales employees
NHS pension paid by local authority (but not if
paid by Capita or the Paymaster General)
Northern Ireland Assembly employees
Police
Scottish assembly employees
Scottish Executive
Teachers