Langzeit-Expat-Leitfaden in Reunion

Reunion, as an overseas department of France, adheres to French immigration laws and regulations. This means that visa and residency requirements largely mirror those of mainland France, with specific administrative processes handled by the local préfecture.

• Visa-Free Entry and Tourist Stay Limits:

  • EU/EEA/Switzerland Citizens: Benefit from free movement and do not require a visa for any length of stay. They can live and work in Reunion without specific permits.
  • Major Passport Holders (e.g., US, UK, Canada, Australia, New Zealand, Japan, South Korea): Can enter Reunion visa-free for short stays of up to 90 days within any 180-day period, under the Schengen Area rules. This is for tourism, business, or family visits. From mid-2025, these visa-exempt travellers will be required to obtain an ETIAS (European Travel Information and Authorisation System) authorisation prior to their trip.
  • Other Nationalities: May require a short-stay Schengen visa, depending on their country of origin. It is crucial to check the official France-Visas website (France-Visas.gouv.fr) for specific requirements.

• Temporary Residency Tracks (Long-Stay Visas - VLS-TS): For stays exceeding 90 days, a long-stay visa (Visa de Long Séjour valant Titre de Séjour - VLS-TS) is required. This visa acts as a temporary residence permit for the first year and must be validated online upon arrival in Reunion. Common categories include:

  • Work Visas (Salarié / Travailleur Temporaire): Requires a pre-approved employment contract and sponsorship from a Reunion-based employer. The employer initiates the work authorisation process with the French labour authorities. Once approved, the individual applies for the VLS-TS at the French consulate in their home country.
  • Study Visas (Étudiant): For individuals accepted into an accredited educational institution in Reunion. Requires proof of enrolment, sufficient financial resources (e.g., EUR 615 / USD 664 per month as of May 2026), and health insurance.
  • Family Reunion Visas (Vie Privée et Familiale): For spouses, minor children, or dependent parents of French citizens or legal residents in Reunion. Specific conditions apply regarding the sponsor's resources and accommodation.
  • Talent Passport (Passeport Talent): A multi-year residence permit (up to 4 years) for highly skilled workers, entrepreneurs, investors, researchers, and artists. This category is increasingly relevant for those contributing significantly to the French economy.

• Digital Nomad or Remote Worker Visa Programmes (2025–May 2026): France, including Reunion, has integrated remote worker options under the existing 'Passeport Talent' scheme. While not a standalone 'digital nomad visa' in the strictest sense, the 'Passeport Talent - Profession libérale' (for self-employed professionals) or 'Passeport Talent - Salarié qualifié' (for highly skilled employees working remotely for a foreign company) are the most suitable avenues. Eligibility typically requires:

  • Proof of sufficient and stable income (e.g., at least 2.5 to 3 times the French minimum wage, approximately EUR 4,500-5,500 / USD 4,860-5,940 per month as of May 2026).
  • Proof of remote work contract or self-employment for a company outside France.
  • Comprehensive health insurance.
  • No criminal record.
  • These permits are valid for up to 4 years and are renewable.

• Permanent Residency:

  • Eligibility: Generally, foreigners can apply for a permanent residency card (carte de résident) after 5 years of continuous legal residency in France (including Reunion) under a valid long-stay permit.
  • Requirements: Proof of stable and sufficient financial resources, comprehensive health insurance, and demonstrated integration into French society, including a basic level of French language proficiency (A2 level).
  • Process: Application is made at the local préfecture in Reunion. The decision can take several months.

• Citizenship:

  • Naturalisation: Typically, after 5 years of continuous legal residency in France. This period can be reduced to 2 years for graduates of French higher education or those who have rendered exceptional service to France. Requires a strong command of French (B1 level), knowledge of French culture and society, and proof of integration.
  • Marriage: After 4 years of marriage to a French citizen (or 5 years if the couple has not continuously resided in France or if the French spouse was not registered with French authorities abroad).
  • Descent/Birth: French citizenship can be acquired by birth (under certain conditions) or by descent from a French parent.

• Application Process:

  • Where to Apply: For initial long-stay visas, applications are submitted to the French Embassy or Consulate in your country of residence. For renewals, changes of status, or permanent residency applications, you apply at the local préfecture in Reunion.
  • Documentation: Varies significantly by visa type but commonly includes a valid passport, passport-sized photos, proof of financial means, accommodation, comprehensive health insurance, criminal record checks, educational/professional qualifications, and civil status documents (e.g., marriage/birth certificates).
  • Fees: Visa application fees (e.g., EUR 99 / USD 107 for long-stay visas as of May 2026). Upon arrival or for renewals, there are additional residency permit fees (e.g., EUR 200-300 / USD 216-324).
  • Timelines: Visa processing can range from a few weeks to several months. Residency permit validation and renewal processes at the préfecture can also take several weeks to months.

• Renewal Procedures:

  • Applications for renewal of residency permits must be submitted to the local préfecture in Reunion typically 2 to 4 months before the current permit's expiration date. It is crucial to respect these deadlines to avoid issues with legal status.

• Common Pitfalls and Refusal Reasons:

  • Incomplete or incorrect documentation.
  • Insufficient financial resources to support oneself without relying on public funds.
  • Lack of valid and comprehensive health insurance.
  • Overstaying a previous visa or having a history of immigration violations.
  • Criminal record or security concerns.
  • Failure to meet French language proficiency requirements for permanent residency or citizenship.
  • It is highly recommended to consult the official France-Visas.gouv.fr website and, for complex cases, seek advice from an immigration lawyer specializing in French law.

Reunion's tax system is part of the broader French tax framework, but with specific adaptations and often more favourable rates designed to stimulate economic development in overseas departments. Foreigners relocating to Reunion must understand their tax obligations to ensure compliance.

• Tax Residency Rules: A foreigner generally becomes a tax resident of France (and thus Reunion) if they meet any of the following criteria:

  • Their primary home or habitual abode is in Reunion.
  • They spend more than 183 days in Reunion during a calendar year.
  • Their main professional activity (employed or self-employed) is carried out in Reunion.
  • Their centre of economic interests (e.g., main investments, business headquarters) is in Reunion. Once deemed a tax resident, individuals are generally subject to French tax on their worldwide income. Non-residents are typically taxed only on income sourced within France.

• Income Tax Rates and Brackets (Illustrative for 2025 income, filed in 2026): Reunion benefits from specific income tax scales that are generally lower than those in mainland France. The rates are progressive and applied per 'part fiscale' (tax unit), which accounts for marital status and dependents. Below are illustrative rates based on recent Reunion tax scales (actual 2025 rates for 2026 filing should be confirmed with official sources like Impots.gouv.fr):

  • Up to EUR 11,294: 0%
  • EUR 11,295 to EUR 28,797: 11%
  • EUR 28,798 to EUR 82,341: 30%
  • EUR 82,342 to EUR 177,106: 41%
  • Above EUR 177,106: 45% Non-residents are typically taxed at a flat rate on French-sourced income, often 20% up to a certain threshold, then higher.

• Double Taxation Treaties: France has an extensive network of double taxation treaties with over 120 countries worldwide. These treaties apply to Reunion and are crucial for expats to avoid being taxed twice on the same income. Key countries with active treaties include the USA, UK, Canada, Germany, Belgium, Switzerland, Australia, Japan, China, and India. Expats should consult the specific treaty between France and their country of origin to understand how their income will be treated.

• Social Security and Pension Contributions for Foreigners: All employed and self-employed residents in Reunion are generally required to contribute to the French social security system (Sécurité Sociale). These contributions fund healthcare, unemployment benefits, family allowances, and pensions. Rates are substantial, with combined employer and employee contributions often exceeding 40-50% of gross salary. Expats from EU/EEA/Switzerland are covered by coordination rules. Those from countries with bilateral social security agreements (e.g., USA, Canada, and in some cases, the UK) may be exempt from French contributions for a limited period if they continue contributing in their home country.

• Tax Filing Requirements, Deadlines, and How to File:

  • Requirement: All tax residents must file an annual income tax declaration (Déclaration des revenus).
  • Deadlines: Typically in May or early June of each year for the previous year's income. Specific dates vary by department and whether filing online or by paper. Online filing is mandatory for most taxpayers.
  • How to File: Primarily online via the official tax portal, Impots.gouv.fr. First-time filers may need to submit a paper declaration to receive their tax identification number.

• Tax Deductions and Allowances Available to Expats: Expats can benefit from standard French tax deductions, such as a fixed deduction for professional expenses or actual expenses. Tax credits are available for certain expenditures (e.g., childcare, domestic help, energy-saving home improvements). The 'quotient familial' (family quotient) system reduces taxable income based on the number of dependents. Reunion may also offer specific local tax incentives for certain investments or activities.

• Property Ownership Tax for Foreigners:

  • Taxe Foncière: An annual property tax paid by the owner of real estate.
  • Taxe d'Habitation: An annual occupancy tax. While largely phased out for primary residences since 2023, it may still apply to secondary residences or specific cases.
  • Real Estate Wealth Tax (Impôt sur la Fortune Immobilière - IFI): Applies to individuals whose net taxable real estate assets (excluding professional assets) exceed EUR 1.3 million (approximately USD 1.4 million as of May 2026).

• Capital Gains Tax:

  • Real Estate: Capital gains from the sale of real estate are generally subject to income tax (e.g., 19%) plus social contributions (e.g., 17.2%), totaling around 36.2%. Exemptions apply for the sale of a primary residence and after long holding periods.
  • Movable Assets (e.g., shares): Generally taxed at a flat rate (Prélèvement Forfaitaire Unique - PFU) of 30%, which includes 12.8% income tax and 17.2% social contributions.

• VAT (TVA) and Other Indirect Taxes Affecting Daily Life: Reunion benefits from significantly reduced VAT rates compared to mainland France:

  • Standard Rate: 8.5% (compared to 20% in mainland France).
  • Reduced Rates: 2.1% and 1.75% for essential goods and services (e.g., food, books, medicines). Other indirect taxes include excise duties on alcohol, tobacco, and fuel.

• When to Engage a Local Tax Advisor: It is highly recommended to engage a local tax advisor specializing in French and Reunion tax law for complex situations, including:

  • Self-employed individuals or business owners.
  • Individuals with significant foreign income, assets, or investments.
  • Navigating double taxation treaties and understanding specific Reunion tax incentives.
  • First-time filers with non-standard income sources or significant assets.

• Penalties for Non-Compliance: The French tax authorities impose strict penalties for non-compliance:

  • Late Filing: Penalties typically start at 10% of the tax due, increasing with further delays.
  • Under-Declaration or Errors: Fines and interest on underpaid tax.
  • Tax Fraud: Can lead to severe penalties, including substantial fines and criminal prosecution.