French General Tax Code
In forceI. - Natural or legal persons as well as unincorporated companies and trustees for their activity carried out under a trust agreement who carry out an activity under the conditions set out in articles 1447 et 1447 bis and whose turnover exceeds €152,500 are subject to the business value added contribution.
II. - 1. The business value added contribution is equal to a fraction of the value added produced by the business, as defined in Article 1586 sexies.
For the determination of the business value added tax, the value added produced and the turnover achieved during the period referred to in article 1586 quinquies are taken into account, with the exception, on the one hand, of the value added relating to activities exempt from business property tax pursuant to the articles 1449 to 1463 B, with the exception of 3° of article 1459, and, on the other hand, the added value relating to activities exempt from business value added tax pursuant to I to III of article 1586 nonies. This added value is, where applicable, subject to the abatement provided for in IV of Article 1586 nonies.
For maritime or air navigation companies that carry out activities both in France and abroad, no account is taken of the value added from operations directly linked to the operation of ships or aircraft that do not correspond to the activity carried out in France.
A decree in the Conseil d'Etat shall specify the terms and conditions for the application of the third paragraph.
2. The fraction of value added referred to in 1 is obtained by multiplying this value added by a rate provided for in Article 1586 quater.
3. The business value added contribution is collected and audited according to the same procedures and subject to the same penalties, guarantees, securities and privileges as value added tax. Claims are presented, investigated and judged according to the rules applicable to the business property tax.
