Many years is no longer in line with market reality

  • No School
  • AA 1
  • 18

This preview shows page 7 - 9 out of 18 pages.

many years, is no longer in line with market reality and makes the management of fixed assets in companies complex. If the explanation can be accepted, it is nevertheless the case that the measure also helps to raise the return of the IS by spreading over several years a charge that would have impacted the result of a single financial year. 17.- Harmonization and rationalization of the taxation of real estate capital gains of any kind (Articles 17 (4), 46 (2) and 48 (3)).- The Finance Law for the financial year 2017 Now submits to the 5% (or 10%) withholding tax on real estate income tax, capital gains on the sale of immovable property realized by both physical persons and legal persons. This levy will be collected by the notary and returned to the Public Treasury before the formality of the registration. The law nevertheless avoided double taxation, by providing that the tax calculated by the company will be reduced by charging the tax already borne on account of these incomes. One can think here that the Tax Administration merely wanted to establish the traceability of the income tax on land. To benefit from the reduced rate of 5%, the real estate transaction must be carried out in an area framed by an administrative mercurial. In addition to this, the Act adds that in determining the taxable basis of the capital gain, the following factors are taken into account: the sale price declared by the parties, reassessed administratively if necessary; The value of the property at the last transfer; The cost of construction and/or conversion of the building, if applicable; The expenses deductible from the gross capital gain.
Image of page 7
18.- Submission of VAT to leases of furnished dwelling buildings (Article 127).- From 1 January 2017, owners or managers of furnished dwellings for residential purposes ( Natural persons or legal entities) are required to collect VAT and remit it to the French Treasury under the conditions set by the CGI. The obligation to pay VAT on furnished rentals entails the free registration of the contracts relating thereto in accordance with the provisions of Article 546 A-3 of the CGI. 19.- Extension of the scope of the tax on games of chance and entertainment to games organized by mobile operators (Articles 206 and 208).- From 1 January 2017, games and Bets made by mobile telephone companies are subject to the tax on games of chance and entertainment in the same way as games organized by specialized companies and duly authorized for that purpose. Its rate is 15%, to which is added the additional centimes communal (10%). It should be recalled that the tax on games of chance and entertainment is introduced for the benefit of municipalities. 20.- Extension of the exclusive payment obligation by bank transfer to taxpayers belonging to specialized tax centers (Article L7).- Until 2016, only the taxpayers belonging to the Directorate of Large Enterprises ) And the Center for the Taxation of Medium-sized Enterprises (CIME) were obliged to make their payments exclusively by bank transfer. From 1 January 2017, this obligation is extended to the Specialized Centers of Taxation. This reduces the handling of species and the risk of their
Image of page 8
Image of page 9

You've reached the end of your free preview.

Want to read all 18 pages?

  • Fall '19
  • tax administration

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes
A+ icon
Ask Expert Tutors