French Cross-Border Workers Will Be Allowed 34 Teleworking Days Per Year From 1 January 2023

On 7 November 2022, the French and Luxembourg governments signed an amendment to paragraph 3 of the protocol to the existing treaty between the two countries for the avoidance of double taxation and for the prevention of income and wealth tax avoidance and evasion (the "Double Tax Treaty"). Ratification procedures must now be completed in each country in order for this measure to enter into force. The teleworking limit was increased from 29 to 34 days for the purposes of Article 14 of the Double Tax Treaty, which pertains to employment income and how it is taxed.

The new limit will apply to French cross-border workers from 1 January 2023 (provided that the ratification procedures are finalised).