Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 25 APRIL 1995

Losses Supported Outside France

SG Archibald Andersen
Explore more from SG Archibald Andersen

FranceTax
Forgiveness of debt to a foreign subsidiary

"The Tax Authorities do not prove that the grant of advances by a French company to an American subsidiary, first in order to promote its start up, then in order to solve the difficulties met by its sub-subsidiary, does not meet the arm's length principle insofar as the aim of these operations is the following:
-	the creation of a commercial trend, of which operation by these companies is meant to develop the own turnover of the company, especially by way of sale of the rights;

-	the prevention of the company from the risk resulting, for the company, either from the loss of its subsidiary as well as its sub-subsidiary, or a possible liability action of bankruptcy, the amount of which would have been, at the date of booking of the provisions, at least equal to the sums advanced.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

L’Administration actualise son Bofip en matière de Dutreil

L'Administration fiscale a actualisé sa doctrine sur le dispositif Dutreil suite à la réforme de la loi de finances pour 2026, qui allonge l'engagement de conservation et exclut certains biens "somptuaires". Cette mise à jour clarifie plusieurs points d'application mais laisse subsister des zones d'ombre, notamment sur le critère d'exclusivité d'affectation des actifs et le traitement des dettes afférentes aux biens exclus.
FranceTax
Delsol Avocats
Delsol Avocats
Article

Cession De Titres De Participation : Nouvelle Présomption D’Application Du Régime Du Long Terme

L'administration fiscale française a publié de nouvelles directives concernant le mécanisme permettant aux sociétés soumises à l'impôt sur les sociétés d'inscrire certains titres de participation dans un sous-compte dédié, créant ainsi une présomption irréfragable d'application du régime du long terme. Ce dispositif, issu de la loi de finances pour 2026, vise à sécuriser l'application du régime fiscal favorable aux plu
FranceTax
Mayer Brown
Mayer Brown
Article

French Tax On Evergreening Practices: Uncertainties Remain For Pharma Companies

France's new evergreening tax targets pharmaceutical companies that allegedly delay generic drug market entry through secondary patents, but the law's scope and enforcement mechanisms remain unclear. With no administrative guidance issued since the tax took effect on December 31, 2025, companies face uncertainty about compliance requirements, assessment procedures, and the criteria for determining unjustified commercial exclusivity.
FranceTax
Jones Day
Jones Day
Article

Tax Considerations For Chateau Owners In France

Acquiring a French château involves navigating complex fiscal and legal considerations, from choosing between personal ownership and establishing a Société Civile Immobilière to managing wealth tax obligations and capital gains relief. Understanding these intricacies—including inheritance rules, rental income taxation, and long-term ownership benefits—is essential for protecting and optimizing your investment in France's luxury real estate market.
FranceTax
Spectrum IFA Group
Spectrum IFA Group