France – Finance Bill 2014 enacted Transfer Pricing Provisions

31 December, 2013

The Finance Bill for 2014 of France was published on December 30, 2013. The bill contains transfer pricing provisions but the Constitutional Court has rejected certain controversial provisions. As approved by the Constitutional Court the Finance

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France-Canada DTA protocol approved

30 December, 2013

In accordance with initial media reports, France's lower house of parliament approved the protocol to the Double Tax Agreement signed with Canada on December 23,

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France – Status of Transfer pricing proposals in the Draft Finance Bill for 2014

18 December, 2013

The French Senate rejected part 2 of the draft finance bill for 2014 on 16 December 2014. The bill is scheduled on 19 December 2013 for a final consideration. The draft bill changes the penalty provisions for those taxpayers who fall under article

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France: Independent Worker Union Criticizes Corporate Land Tax Reform

17 December, 2013

The government of France proposed reform to the corporate land tax contribution (CFE) under the framework of the finance bill of 2014- PLF 2014. But the independent worker union UNAPL has strongly criticized the proposal. The PLF 2014 presents

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France-Increase of VAT rate from 1 January 2014

16 December, 2013

The government of France announced on 16 December 2013 to reduce the VAT rate from 19.6% to 20% in 2014. The increased VAT rate should be applied on all taxable supplies from 1 January

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France – “Abridged” transfer pricing documentation to be filed annually

12 December, 2013

On 12 December 2013 it was reported that recently enacted transfer pricing legislation includes a new requirement for large taxpayers to file annually an “abridged” version of their transfer pricing documentation. The requirement to file the

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France and the US signed FATCA Intergovernmental Agreement

10 December, 2013

On 14 November 2013, the US and France signed an Intergovernmental Agreement (IGA), in order to improve international tax compliance and to implement the US Foreign Account Tax Compliance Act. The FATCA legislation aims to ensure that US citizens

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France – Arm’s length indemnification for unfair termination of contracts

10 December, 2013

In two court cases of France it was reported on 9 January 2013 that a failure to provide the required notice period with respect to a group restructuring may provide a cause of action for an award of compensation for unfair termination of a

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France – Transfer pricing adjustments been recognized by the Appellate courts

10 December, 2013

The Administrative Courts of Appeal of France recently issued decisions affirming transfer pricing adjustments which are as follows: Lyon court of appeals The Administrative Appeals court in Lyon concluded that Frenchco exercised direction and

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France – Administrative Court of Appeal of Paris denies use of secret comparables

10 December, 2013

The Administrative Court of Appeal of Paris gave its decision in Nestlé Entreprises v. Minister of Economy and Finances (No. 12PA00469) on 5 February 2013 concerning the use of secret comparables under the transfer pricing regulation, article 57 of

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Interest income under the income tax treaty between Vietnam and France

09 December, 2013

The income tax treaty between Vietnam and France does not provide any provisions for the taxation of interest derived from transactions of loans. Recently Vietnam has provided guidelines on certain tax provisions of the treaty. According to the

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French Assembly Passes Tax Evasion Bill

08 December, 2013

The French National Assembly has definitively adopted the Government's anti-tax evasion and major economic and financial crime bill. The legislation was passed by 358 votes to 198. The bill is designed to considerably strengthen the capacities of

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France – Update on proposed tax legislation

08 December, 2013

The proposed tax changes contained in the legislation are expecting to execute the package of Finance Bill 2014 of France. According to the proposed legislation pending before the French Parliament the surcharge on corporate income tax would be

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France – Additional reporting requirements for companies

08 December, 2013

The national assembly of France passed a legislation related to reporting requirements on 5 November 2013. The legislation consists of new reporting requirements in addition to transfer pricing documentation for companies. Companies which will fall

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France to Renegotiate HGV “Eco Tax” Contract

08 December, 2013

The French Finance Minister has announced plans to renegotiate the contract concluded with the Italian-led consortium Ecomouv. The contract is charged with implementation of the country’s controversial heavy goods vehicle (HGV) eco tax, to

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France Observes “Influx” Of Voluntary Tax Declarations

08 December, 2013

According to a report on 6 November 2013 around 4,000 taxpayers have submitted a voluntary declaration to the country's Tax Administration over the course of the past four months, to regularize their tax situation. The "influx" of requests followed

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French Lawmakers Return to Tax on Energy Drinks

18 November, 2013

The National Assembly of France has adopted the social security finance bill 2014. The assembly also included an amendment for the introduction of a tax on energy drinks. There are also provisions to harmonize social levy rates imposed on savings

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France: Mandatory Online Tax Reporting Threshold

31 October, 2013

The French Finance Ministry announced on 17 October 2013 a reduction in the threshold for application of the mandatory on-line reporting obligations, for companies in France not subject to corporation tax (IS) in 2013-2014. From October 1, 2013,

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