Please find below the main tax measures of the 2021 Draft French Finance Bill released on 28 September 2020. French Parliamentary discussions on the Bill should begin on 12 October
The decision of the Council of State on the Research Tax Credit (RTC) of accredited companies : the deduction of the sums received cannot generate a negative RTC !
As a reminder, the amounts received by private accredited research organizations as a result of the transactions eligible for the RTC are deducted from the basis of their tax credit
Subcontracted expenses eligible to the Research Tax Credit (RTC): ending of more than 5 years of tax insecurity!
In its landmark caselaw, the French Administrative Supreme Court (Conseil d’Etat) rejects the position of the tax administration and validates the eligibility of ancillary tasks necessary to achieve research works.
RTC on staff seconded by another company: whilst possible in theory, the practical justification is rigorous and evidence based
By a 2017 ruling, the French State Council stated that the expenses of seconded staff carrying out research operations in the company premises and with its resources could be eligible
IRC – The notion of “entrusted” work eligible to the RTC is broader than subcontracting alone.
Read more about this: Research Tax Credit (RTC) claimed by a certified company: towards a broad appreciation of the amounts to be deducted The Administrative Court of Appeal of Versailles,
Taxation of proceeds from the assignment or grant of patents: what’s in the new administrative comments ?
As a reminder, the 2019 Finance Act has deeply changed the tax regime applicable to income derived from Patents (Article 238 of the French General Tax Code). In July 2019,
The Research Tax Credit (RTC) case law deals with the eligibility of seasonal workers in agriculture
The earnings of seasonal workers who (i) work closely with researchers (ii) to provide technical support for research and experimental development work could be included in the RTC base as
Coronavirus – Immediate repayment of the RTC receivables to be refunded in 2020
On March 22nd, 2020, the French Tax Administration (“FTA”) updated its webpage regarding the questions / answers related to the COVID-19. It confirms that companies benefiting of one or more
Ministry for Higher education and Research’s guide for 2019
A new edition under the sign of pedagogy and a narrow vision of eligible outsourced R&D. Reminder to the readers: the RTC guide is not a binding document. This annual
Finance bill 2020 – Research Tax Credit: Important adjustments voted at first reading by the National Assembly
In addition to the reduction of operating costs calculated on staff expenses to 43%, the Finance bill for 2020 voted in first reading by the National Assembly provides for significant