USA and France company setup?

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My company (a US corporation) provides technology consulting and software services to companies in French speaking countries in Africa. I am a US citizen and I (and my company) currently have no physical presence in France.

We are hit with double taxes on our revenues (once in the African country and again in the US). We would like to pay taxes once in the US and not pay twice based on existing tax treaties. Currently, there are:

  • Double tax treaty between France and most French speaking African countries.
  • Double tax treaty between France and US.

We are thinking we could have a French company collect sales revenue from Africa and pass almost all of the earnings over to the the US company. Since the Sales Revenue in French speaking African countries is collected in France the revenue is tax-exempt from originating country due to existing double tax treaty.

The entire earnings of the French company (sales minus expenses) is used to pay off the services provided by the US company. Because of existing tax treaty between the US and France we will pay tax only once to the US.

Here are my questions:

  1. What kind of French company would you recommend. The sales revenue for French company is estimated to be between USD 100,000.00 to USD 200,000 annual.
  2. What would be our costs and time-duration for the formation of the recommended company type and would you be able complete this for us?
  3. What ongoing annual taxes, legal filings and costs are associated with the new French company? Will you be able to provide the tax and annual filing service? What will our annual ongoing costs be for the French company?
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