France announces the Finance Bill for 2014

SUNNYVALE, Calif. - Nov. 8, 2013 - PRLog -- The French Finance Bill for 2014 was presented by Finance Minister Pierre Moscovici and Budget Minister Bernard Cazeneuve on 11 September 2013, reports Nair & Co.’s International Tax Team. The new bill (PLF 2014) includes tax measures targeted at increasing employment and improving the current social model in France.

The measures include several changes in the regulatory framework of corporate and individual taxation. Significant highlights include the following:

*  Corporate tax: For the purpose of the corporate income tax base, businesses would need to take into consideration operating revenue [Earnings before Interest Tax Depreciation and Amortization (EBITDA)] instead of turnover. Changes would be introduced to certain employer related contributions paid by young innovative companies JEI. The Bill offers incentives for JEIs and small- and medium-sized companies focused in the areas of robotics. It also encourages long-term investment and certain risk taking. There are also changes to the annual minimum tax applied to turnover (IFA).

*  Individual tax: The new provisions re-establish the cost of living index to individual income tax brackets and decrease the limit for the family coefficient.

*  Pension reform: The Bill includes plans to reform pension; the PLF 2014 will increase social contributions by 0.3 per cent in 2014, this will be shared between employees and employers.

The above is a summary of a few of the measures included in the Finance Bill for 2014. It is recommended that French companies review the Bill carefully and prepare to make appropriate adjustments to existing processes/ systems, in order to take advantage of the new benefits and avoid non-compliance.

For more information about doing business overseas (http://www.nair-co.com/expanding-business-overseas.aspx) or to know more about our International Tax Services team please contact us (http://www.nair-co.com/global-offices.aspx).

TAGS: Finance, tax, investment, business, value added tax (VAT), employees, retirement, budget, corporation tax, payroll, legislation, tax rates, France, tax reform, inflation, individual income tax, European Union (EU), Europe, small- to medium- business, SME, pension, EBITDA

Subscribe (http://www.nair-co.com/subscribe.aspx) to regular global tax compliance (http://www.nair-co.com/international-tax-compliance-services.aspx) alerts from Nair & Co.

International Business Guide (IBG) (http://www.nair-co.com/ibg.aspx) is our online platform for companies wishing to optimize their multinational operations and would like to have specific business information for doing business in a particular country - Click Here (https://ibg.nair-co.com/).

Get the latest news releases and updates on international tax, HR, Finance, compliance and other legal news at Nair & Co. Industry Alerts (http://www.nair-co.com/newsandannoucement.aspx).

About Nair & Co.

Nair & Co., the leader in international business expansion services (http://www.nair-co.com/), provides accounting, HR, legal, tax and compliance services for the set up and management of your international operations. Our model of a single-point-of-contact, supported by internal teams of experienced advisors, helps clients expand business and manage risk so they can focus on their core business and sustain growth with minimal risk, stress and cost. We support nearly 250 clients in over 70 countries. Nair & Co. is headquartered in Bristol, UK, has 450 employees and offices in China, India, Japan, Singapore, and the US. Learn more at www.nair-co.com

Media Contacts
For media enquiries or to learn to more about Nair & Co., please email us at media@nair-co.com or call Yvonne Smith at +1.408.501.8867