French Business Law - French Legislation

Article 719 of the French General Tax Code

November 7, 2023

Transfers of ownership for valuable consideration of businesses or clienteles are subject to registration duty, the rates of which are set at: FRACTION OF TAXABLE VALUE Applicable rate (as a percentage) Not exceeding €23,000 0 Superior to €23,000 and not exceeding €107,000 2 More than €107,000 but not more than €200,000 0.60 More than €200,000 2.60 The duty is levied on the price of the sale of goodwill, the transfer…

Article 720 of the French General Tax Code

November 7, 2023

The provisions of this code applicable to transfers of ownership for valuable consideration of businesses or customer lists are extended to any agreement for valuable consideration, the effect of which is to allow a person to exercise a profession, function or employment occupied by a previous holder, even when the said agreement concluded with this holder or his successors in title is not accompanied by a transfer of customer list….

Article 722 bis of the French General Tax Code

November 7, 2023

The 2% rate of transfer duty provided for in Article 719 is reduced to 0% for acquisitions of businesses and clienteles made in the zones franches urbaines-territoires entrepreneurs defined in B of 3 of article 42 of Law no. 95-115 of 4 February 1995 on regional planning and development, as well as in the rural regeneration zones mentioned in article 1465 A. To benefit from the reduced rate, the purchaser…

Article 723 of the French General Tax Code

November 7, 2023

Sales of new goods correlative to the transfer or contribution to a company of a business are exempt from any proportional registration duty when they give rise to the collection of value added tax or are exempt from it pursuant to article 257 bis. If this is not the case, the new goods that furnish the business are only subject to a duty of 1.50%, provided that a specific price…

Article 724 of the French General Tax Code

November 7, 2023

I. – Treaties or agreements having as their object the transfer for valuable consideration of an office are subject to a registration duty determined in accordance with the tariff provided for in Article 719 (1). Registration duty is levied on the price expressed in the deed of transfer and the capital of any charges that may be added to the price. II. – In the event of the creation of…

Article 725 of the French General Tax Code

November 7, 2023

Any transfer of a right to a lease or of the benefit of a promise to lease relating to all or part of an immovable property, regardless of the form given to it by the parties, whether it is described as a transfer of key money, severance pay or otherwise, is subject to registration duty determined in accordance with the tariff provided for in article 719 (1). Duty is levied…

Article 726 of the French General Tax Code

November 7, 2023

I. – Transfers of corporate rights are subject to registration duty, the rate of which is set: 1° At 0.1%: – for deeds involving transfers of shares, founders’ shares or profit shares in joint stock companies traded on a regulated financial instruments market within the meaning of l’article L. 421-1 of the Monetary and Financial Code or on a multilateral trading facility within the meaning of Article L. 424-1 of…

Article 727 of the French General Tax Code

November 7, 2023

I. – 1° When they take place within three years of the definitive realisation of the contribution made to the company, transfers of shares in companies whose capital is not divided into shares are considered, from a tax point of view, as having as their object the assets in kind represented by the securities transferred. 2° For the collection of tax, each contribution item is valued separately, with an indication…

Article 728 of the French General Tax Code

November 7, 2023

Without prejudice to the provisions of article 1655 ter, transfers of shares or units conferring on their owners the right to the enjoyment of immovable property or fractions of immovable property are deemed to have as their object the said immovable property or fractions of immovable property for the collection of registration duties (1).

Article 729 of the French General Tax Code

November 7, 2023

Agreements which relate to shares or stocks and which are considered for registration duty purposes as transferring real estate ownership for valuable consideration under articles 727,728 and 1655 ter are subject to these duties in accordance with the rates applicable to transfers for valuable consideration of immovable property or immovable property rights which give rise to the payment of land registration tax.

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French General Tax Code

Article 719 of the French General Tax Code

Article 720 of the French General Tax Code

Article 722 bis of the French General Tax Code

Article 723 of the French General Tax Code

Article 724 of the French General Tax Code

Article 725 of the French General Tax Code

Article 726 of the French General Tax Code

Article 727 of the French General Tax Code

Article 728 of the French General Tax Code

Article 729 of the French General Tax Code

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French General Tax Code

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