On 17 April 2019, France published interest rates for entities whose financial year ended between 31 March 2019 and 29 June 2019, which are used to determine the deductibility of interest payments to shareholders. The portion of interest payments exceeding following the interest rates is generally not deductible unless documentation is provided showing that the interest rate applied is at arm’s length.
Rates for the period from March 31, 2019 to June 29, 2019 are as follows:
- Between 31 March 2019 and 29 April 2019 – 1.42%
- Between 30 April 2019 and 30 May 2019 – 1.41%
- Between 31 May 2019 and 29 June 2019 – 1.39%
