An overview of France, one of nine EU Member States considered to apply a tax on financial transactions.
1 August 2012
Article 6 of 2012 Finance Bill:
Taxable event (transaction)
Residence of issuer?
Yes - shares of listed companies whose head office is in France and whose market capitalization exceeds 1 billion euro (EUR) as of 1 January the taxable year.
Location of transaction (e.g. traded on local stock exchange)?
Location of party (e.g. at least one party to the transaction is resident)?
Residence of financial intermediary?
The list of French companies whose shares fall within the scope of FTT will be set on 1 December of the year preceding the year of taxation (starting 1 December 2012 for tax year 2013).
For 2012, the list (PDF 110 KB) was published by the French Ministry of Finance on 12 July 2012.
2. market making activities
3. market making activities; beneficiaries holding corresponding long positions.
The Investment Service Provider or “broker” who has executed the transaction on its own behalf or on behalf of its client.
In the case of a chain of intermediaries involved in the execution process of a buying order (execution brokers), the FTT is due by the broker who directly receives the order from the final investor.
When the transaction is not executed by a broker (e.g. over-the-counter (OTC) transactions), it is the securities account holder for the investor.
Fidal** in France
+33 1 55 68 1576
** Fidal is a separate and distinct organization from KPMG International and KPMG member firms and should be described as such.
Automated presentation on the proposed EU financial transaction tax