Reference
Clearstream Banking1 would like to inform customers that the French National Assembly has adopted an increase of the Financial Transaction Tax (FTT) rate from 0.2% to 0.3% effective
1 January 2017
while the taxation of intraday transactions has been postponed to 1 January 2018.
Background
During the last reading of the French Financial Bill for 2017, The French National Assembly adopted the following amendments to the French FTT:
- An extension of the scope of the French FTT to include intraday transactions for acquisitions realised as of 1 January 2018 (Article 62 of the Law); and
- An increase of the FTT rate from 0.2% to 0.3% effective 1 January 2017 (Article 25 of the Law).
As per discussions between The French Financial Markets Association (l’AMAFI - L'Association française des marchés financiers) and the French Tax Authorities (FTA), the new 0.3% tax rate will apply to transactions settled as of 1 January 2017.
The Law is now pending publication in the Official Journal.
Further information
You may access the new Articles of the Law (in French) on the Assemblée Nationale’s website (please refer to Article 25 for the new FTT rate and to Article 62 for the taxation of intraday transactions).
The list of companies subject to FTT for transactions realised as from 1 January 2017 can be found on the FTA’s website.
For further information, please contact the Clearstream Banking Tax Help Desk, Clearstream Banking Client Services or your Relationship Officer.
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1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for CBF customers using CreationOnline), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500.