PARIS: The French National Assembly is considering a proposal to introduce a new diverted profits tax.
Put forward by Socialist French Senator Yann Galut, the proposal is based on the same levy introduced in the UK to ensure that profits are not shifted out of France through artificial arrangements.
The provisions would reportedly ensure that arrangements to avoid establishing a tax presence or liability in France would be subject to a prohibitively high tax rate, above the present corporate tax rate of 33.33 percent.
Whether the levy is adopted may depend on the outcome of the ongoing presidential election rate, with the French Socialist Party behind in the running. The DPT is proposed to be in place by 2018.
