France is the very opposite of a tax haven


We have written extensively about French taxation –

Tax residence – domiciled fiscal is a criterion for tax liability – a foyer, business activity or centre of economic interest in France. The devolution of a resident’s estate is strictly regulated by law, with some exceptions for foreign nationals. Lifetime gifts are not tax–exempted. Life insurance wrappers enjoy some advantages. New residents retain the historic base cost of their existing assets. Bank accounts outside France are to be declared annually.

France levies a wealth tax on land: there is a five-year grace period for new residents and bank debt is deductible (subject to limitations). Non-resident owners of French property may be exposed to income tax, capital gains tax, wealth tax and estate duty. SCPI shares are moveable property. Trusts are treated as transparent and on the death of the settlor his liabilities may descent to a ‘beneficiaire in his place. There are reporting requirements for trusts. Offshore structures are the target of Article 123bis of the General Tax Code.

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