#JANVIER 2018 – NEWSLETTER INTERNATIONALE
Real estate wealth tax: what is its impact on non-residents?
Beginning on 1 January 2018, the wealth tax (ISF) will be replaced by the real estate wealth tax (IFI). At first glance, this reform does not seem to have an impact on the taxation of non-residents, who were already exempt from paying the ISF on the majority of their financial investments. The IFI, however, does have some consequences on the estates of foreign residents
Relaxing the favourable regime for partial contributions of assets
The second amending finance bill for 2017, which was approved in December 2017, significantly changed the favourable regime for restructuring transactions. Below we will examine two important measures:
Updating the content of the transfer pricing documentation
Companies belonging to large economic groups (annual turnover not including tax or gross assets indicated in the balance sheet of at least 400 million euros) have an obligation to establish transfer pricing documentation, the content of which is prescribed by article L13AA of the tax procedure handbook. This documentation is only sent to the tax authorities upon their request and as part of an accounting audit.