French Tax Update - Recently Published Noteworthy Publications

The present French Tax Update will focus on an overview of several noteworthy French tax court decisions issued during the past few months, as well as the European Commission decision in respect of the investigation on tax rulings granted to Fiat and Starbucks entities by the Luxembourg and Dutch tax authorities, and a parliamentary amendment proposing to change the computation of the taxable basis of the French financial transactions tax ("FTT").

PROPOSED CHANGE TO THE FTT RULES

During the first phase of the parliamentary discussions of the Finance Bill for 2016 (Projet de Loi de finances pour 2016), the members of the lower house (Assemblée Nationale) have adopted a change to the computation of the taxable basis of the FTT. The FTT applies to the acquisition of certain defined French listed shares, at the rate of 20 basis points applied to the acquisition cost.