Category Taxation in France

France Eases Back From Exit Tax

September 17, 2018 Taxation in France

France Exit TaxPARIS – France is watering down its punitive tax on the assets of wealthy individuals who leave the country.

The government of France is altering the conditions of its infamous “exit tax” and limiting the conditions under which ex-taxpayers of France are liable to pay a tax on the capital appreciation of their assets.

Previously, individuals who left France, and subsequently transferred their domicile for tax purposes, were liable to face an effective tax rate of 30 per cent on their capital gains for a period of 15 years.

The time limit for the tax has now been shifted to a mere 2 years.

The tax is applicable to individuals who have previously lived in France for 6 consecutive years, and have either a 50 per cent shareholding in a company moved to France or at least EUR 800 000 in ...

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Taxman Comes After France’s Salt

August 30, 2018 Taxation in France

Salt taxPARIS – French politicians are eyeing up a tax to reduce salt consumption in France, which currently sees twice as much salt being eaten every day than recommended.

Group of parliamentarians in France are launching a push to tax salts being added to foods and prepared meals sold in France.

The group of 20 MPs are all part of a committee which has been tasked with carrying out an inquiry on industrial food production in France.

Previously France has sought to encourage manufacturers to reduce the use of salt in food preparation via voluntary agreements.

However, after more than a decade, the salt-reduction targets have not been met.

The committee is now expected to push for a salt tax to be enacted, however, the exact details of how such a tax would work will not be known until the re...

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France to Tax Netflix and YouTube

September 22, 2017 Taxation in France

Netflix TaxPARIS – Online video providers in France are about to be slapped with a tax, which will fund the development and filming of new local media content.

France has received tentative approval to implement a tax on the revenues garnered by online video services which have French viewers, even in cases where the company is not established or registered in France.

The tax will be levied at a rate of 2 percent on the revenues from subscription-based services, such as Netflix.

Further, video-sharing sites with no subscriptions, such as YouTube, will be taxed based on their advertising revenues from French viewers.

The funds from the tax will be used to fund the French film board, which will then go on to subsidies local original media content, such as TV shows, video games, and movies.

The film ...

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France and Germany Keep Chasing Tech-Giants

August 28, 2017 Taxation in FranceTaxation in Germany

tech giant taxPARIS – France and Germany are stepping up their fight against tax-dodging tech-giants, despite the failures of previous moves to address the problem.

Over the weekend the Finance Minister of France Bruno Le Maire announced that the governments of France and Germany may soon reveal a new “fair contribution” tax to be levied on the profits of large multinational tech firms, such as Google and Facebook.

The exact methodology and mechanics of the new tax have not been revealed, however, the Minister did explain that tax authorities may use the revenues of the companies as a “reference point” to determine what tax level they should face in order to ensure that they are making a contribution in the countries where they generate a profit.

Large tech companies have come under fire for s...

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France Approves YouTube Tax

December 8, 2016 Taxation in France

Youtube taxPARIS – France could soon start taxing the revenues of video-streaming sites, even though not based in the country.

This week the parliament of France voted on, and approved, a new measure to tax the advertising revenues of online video services available in France, a tax which has already come to be called the “YouTube Tax”.

The tax was initially proposed, and subsequently, dropped earlier this year during the discussions on the 2017 national budget plan.

Under the scope of the new rules, video streaming websites which derive any advertising revenues from French viewers will need to pay a tax of 2 percent of the profit earned, or a raised rate of 10 percent if the materials are violent or adult in nature.

The only exemption will be news websites which display advertising-supported vi...

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