Working Remotely Across Borders: How to Stay Compliant Between Two EU Countries

Working remotely from another EU country affects both taxes and benefits.

Posted employee: your company temporarily sends you to work in another state, for a foreseeable period of no more than 24 months; you stay in your home system (A1 form; [Regulation (EC) 883/2004, art. 12](https://www.cleiss.fr/docs/textes/883-04/t2.html)).

Long-term teleworker: your tax residence is set by each country's law — in Spain, for example, more than 183 days during the calendar year, or the centre of your activities or economic interests ([Law 35/2006, art. 9](https://www.boe.es/buscar/act.php?id=BOE-A-2006-20764)); if both countries claim you, the tax treaty decides.

Freelancer: in principle taxed where you reside, unless you have a fixed base in the other country.

Understanding your status is crucial, just as it is when finding work abroad or considering cross-border employment.

For a salary, tax treaties set a simple rule: it is taxable in the state of residence, unless the work is physically performed in the other state, which may then tax it ([France-Spain](https://www.impots.gouv.fr/sites/default/files/media/10_conventions/espagne/version-consolidee-de-la-convention-entre-la-france-et-lespagne-modifiee-par-la-convention-multilaterale.pdf) treaty, art. 15; [France-Portugal](https://www.impots.gouv.fr/sites/default/files/media/10_conventions/portugal/nid-13642_convention_avec_le_portugal_modifiee_par_la_cml.pdf) treaty, art. 16). The 183 days only serve an exception: a stay of no more than 183 days in the other state, paid by an employer not resident there, stays taxed in the state of residence.

Treaties prevent double taxation, but you may still have filing obligations in both countries.

Example: an employee of a French company who lives in Portugal and teleworks from Portugal is taxed on that salary in Portugal: since the work is done in Portugal, France does not tax it (France-Portugal treaty, art. 16) — except for any days worked in France.

This system is similar to how freelancers navigate VAT across borders—you need clarity on both jurisdictions.

EU regulation 883/2004 says you are subject to only one social-security legislation at a time.

In principle, the legislation of the country where you physically work applies ([art. 11(3)(a)](https://www.cleiss.fr/docs/textes/883-04/t2.html)): if you telework entirely from your country of residence, that is the one. If you pursue at least 25% of your activity in your country of residence, you are insured there; a derogation is possible, for example the framework agreement on cross-border telework (telework below 50%, on the employer's request) ([CLEISS](https://www.cleiss.fr/particuliers/teletravail-transfrontalier.html)). A posting (foreseeable duration under 24 months) keeps you in your home system.

The A1 form certifies which legislation applies: request it before you leave.

Key point: The A1 proves your affiliation and prevents dual contributions. This is as important as maintaining your healthcare coverage when moving abroad.

Keep your EHIC (European Health Insurance Card) updated and add international coverage if needed.

Inform your employer—some policies cover only domestic work.

Recommended providers:

• Allianz Care
• Cigna Global
• April International

Just as you need to understand how the EHIC works, ensuring comprehensive coverage across borders is essential.

Inès, a French national, lives in Barcelona and teleworks full-time for a Lyon firm. Present in Spain for more than 183 days in the year, she is Spanish tax-resident (Law 35/2006, art. 9).

Her salary, for work done in Spain, is taxable only in Spain (France-Spain treaty, art. 15); France does not tax it, except for any days worked in France. For social security, working entirely from Spain, she is in principle under the Spanish system (Regulation 883/2004, art. 11(3)(a)): a French A1 would only be possible for a temporary posting of no more than 24 months, or through a derogation requested by the employer. Her employer therefore arranges to pay contributions in Spain.

No bad surprises—because she planned ahead.

Her success came from early planning—similar to how proper preparation helps with any major move abroad.

Keep dual tax calendars: Use Google Calendar to track deadlines in both countries.

Store pay slips & A1 forms: Digital copies in cloud storage (encrypted).

Contact non-resident tax centers if unsure: Most countries have dedicated services.

Don't open local business accounts without legal clarity: Can trigger tax reclassification.

Maintain documentation: Like keeping track of rental contracts or banking documents, organized records prevent headaches.