Chapter V: Social and tax arrangements for profit-sharing.

Amounts transferred to the special profit-sharing reserve during the course of a financial year are deductible for the purposes of calculating corporation tax or income tax payable in respect of the financial year during which they are distributed to employees. They are not taken into consideration for the application of labour legislation and are excluded from the basis of assessment for contributions defined inarticle L. 242-1 of the Social Security…

Sums allocated in accordance with Article L. 3323-2 are exempt from income tax. Income from sums allocated by way of profit-sharing and used for the same purpose is exempt under the same conditions. They are then subject to the same lock-in period as these sums and are definitively exempt on expiry of the corresponding lock-in period. After expiry of the period of unavailability, the exemption is however maintained for income…

The General Tax Code sets out the conditions under which companies may set aside a tax-free provision for investment.

The provisions of this chapter apply to the supplement to the special profit-sharing reserve mentioned in Article L. 3324-9.