France: Unveils Medium Term Tax Strategy
France’s medium-term economic plan, included in the 2014-2017 Stability Program, involves measures that will help France to reach its public deficit target of 3 percent of gross domestic product (GDP) in 2015. Among the tax measures in the plan is
See MoreFrance’s FTT Experience Should Warn Europe of Risks
France’s financial market regulator AMF has calculated that the introduction of a financial transactions tax (FTT) in 2012 led to a ten percent decrease in the volume of shares traded on the stock market. This study was based on an analysis of the
See MoreFrance Confirms EUR10bn Tax Cuts For Corporates
The French Prime Minister has set out plans for reducing wage costs for businesses in addition to the CICE tax credit that has already been introduced. The CICE tax credit has provided relief through a credit of 6 percent of gross payroll for
See MoreFrance- President Promises to Push Through Tax Cuts
The French President has pledge to put the economy on firmer ground by reducing taxes for households and businesses, with the aim of increasing the consumers’ net income and purchasing power. The President has promised to reduce labor costs for
See MoreFrance – Study Backs Real Estate Tax Review
The French housing association CGL has pointed out that there are large differences between rates of residence tax in different parts of France. The residence tax is due from the owners or tenants of residential property on the basis of the notional
See MoreFrance – President offers Token Tax Cut for Households
The French is to announce some tax cuts for families in France, according to reports, but the amount of the tax cuts has not been decided and may depend on further reductions in government expenditure. The President also plans to lower labor costs
See MoreFrance- Court Rules in Research Tax Credit Case
In France a tax credit known as the Crédit Impôt Recherche (CIR) is available for certain research and development expenditure by businesses. A recent case (No. 1219816) involved an appeal from a business advisory firm, in respect of the partial
See MoreFrance Reintroduces Rules for Creative Tax Credit
The creative tax credit is given to innovative enterprises in the area of arts and crafts. A company in this sector may obtain a 10% tax credit for expenditure on new products, including the cost of wages, design and protection of new models. The
See MoreFrance – VAT on house improvement rises
France has confirmed that the reduced rate of VAT on home improvements is to rise from 7 percent to 10 percent. The previous 7 percent rate will however still apply in certain situations including work that began before 1 January 2014 and cases
See MoreFrance – Sin Taxes should target health care goals
In France a committee of the Senate has suggested that the behavioral taxes on certain goods such as tobacco and spirits should be more directly linked to government public health targets. These taxes could be renamed public health contributions to
See MoreFrance – Employers demand Corporate Tax Cuts
Anxious to kick-start talks on a reform of corporation tax, the President of the French employers' federation Medef, has called on the Government to lower the corporate social solidarity contribution (C3S) together with the headline rate of
See MoreFrance Urged To Review Social Housing Tax Break
Under the French tax law there is tax relief available in respect of social housing in certain overseas areas, in an effort to increase the supply of low cost residential accommodation. The French Court of Auditors has however called on the
See MoreFrance – VAT on hotel accommodation may be damaging the tourism sector
In the opinion of some commentators the 1 January 2014 increase in VAT on hotel accommodation may be damaging the French tourism sector. The French hotel VAT rate rose from 7% to 10% in 2014 as part of reorganization of all French VAT rates –
See MoreFrance employers and unions considering draft accord
The French trade unions are considering a draft accord that sets out the terms and conditions for a EUR30bn (USD41.6bn) reduction in labor costs. The main employers' associations Medef, the CGPME, and the UPA have drafted the agreement, which urges
See MoreFrance – Introduces new share saving plans
The French Government has published decree number 2014-283 of March 4, 2014, increasing the ceiling for investment in the tax-exempt share savings plan (PEA), and introducing a new share savings plan (PEA-PME) exclusively for investment in small-
See MoreSwitzerland urged to approve IHT agreement with France
The French Finance Minister has informed Switzerland that France will not renegotiate the revised inheritance tax (IHT) agreement the two countries have drafted if it is rejected by Swiss lawmakers. The revised Franco-Swiss IHT accord was signed in
See MoreIreland – Finance Minister Talks Fiscal Policy
According to the Irish Finance Minister the core objective of the Medium Term Economic Strategy (MTES) is full employment by 2020. In connection with this strategy Ireland will continue to prioritize taxation measures that ensure the recovery
See MoreFrance- Transfer Tax hiked
According to the French Tax Administration 66 out of the 101 departments in France have elected to increase their house transfer tax rate from March 1 2014. The house transfer tax is imposed on transactions involving older property. Other expenses
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