Other news for November 2023

Green Industry Tax Credit

The 2024 Finance Bill confirms the creation of a tax credit for investments in green industry (C3IV). Capital expenditure carried out by industrial and commercial companies, subject to a real tax regime, for their activities contributing to the production of batteries, solar panels, wind turbines or heat pumps would be eligible for this tax credit. This would include expenditure on the production or acquisition of tangible assets (land, buildings, installations, equipment, and machinery) or intangible assets (patents, licenses, know-how and other intellectual property rights).

Asbestos and occupational diseases

In September 2022, the French Agency for Food, Environmental and Occupational Health and Safety (ANSES(1)) recognized the existence of a « proven causal link » between laryngeal and ovarian cancers and exposure to asbestos and recommended, as such, the creation of an occupational disease table. This has now been achieved with the integration into the general Social Security scheme of Table 30t entitled « Laryngeal and ovarian cancers caused by the inhalation of asbestos dust » into the General Social Security Scheme. As a reminder, the recognition of a pathology as an occupational disease allows the employee to benefit, in particular, from coverage of his or her care by the Health Insurance without advance payment of costs as well as increased daily allowances in the event of sick leave.

Transfer pricing documentation

Several measures dedicated to tax audits are on the menu of the 2024 Finance Bill. One of the most notable is the strengthening of the transfer pricing documentation requirement. Thus, the threshold for triggering this obligation would be lowered to €150 million for financial years beginning on or after January 1st, 2024. Currently, it concerns, in particular, companies whose annual turnover excluding taxes or gross assets on the balance sheet is at least equal to €400 million. In addition, the minimum amount of the fine for failure to submit this documentation, currently set at €10,000, would be increased to €50,000 for infringements committed from January 1st, 2024.

Company formalities

Since October 16, companies can no longer proceed with their formalities by filing a paper form, except for the filing of their annual accounts. They must therefore use the one-stop shop (https://formalites.entreprises.gouv.fr/) or Infogreffe (https://www.infogreffe.fr/).

(1) Agence nationale de sécurité sanitaire de l’alimentation, de l’environnement et du travail (ANSES)