Key Benefits:
The Prime Minister,
On the report of the Minister of Economy, Finance and Industry,
Considering the general tax code, including articles 150-0 A, 150-0 D and 163 quinquies D, and Appendix II to this code;
Considering the Financial Law for 2000 (No. 99-1172 of 30 December 1999), in particular Article 94;
Having regard to Act No. 2003-721 of 1 August 2003 for the economic initiative, including Article 31 thereof;
Considering the Financial Law for 2004 (No. 2003-1311 of 30 December 2003), in particular its Article 94;
The State Council (Finance Section) heard,
Decrete:
After section 74-0 E of Schedule II to the General Tax Code, an item 74-0 E bis as drafted:
"Art. 74-0 E bis. - In the event of the transfer of securities after their withdrawal from a Share Savings Plan defined in Article 163 quinquies D of the General Tax Code under the conditions provided for in the second sentence of 2 of II of Article 150-0 At the same code, their purchase price is deemed to be equal to their value on the date of the withdrawal. »
In the third paragraph of Article 91 quater F of the same annex, the reference: "at 2 of Article 150-0 A II" is replaced by the references: "at 2 and 2 bis of Article 150-0 A".
The fifth paragraph of section 91 quater G of the same annex is replaced by the following:
"The organization also separates the date of the first withdrawal of amounts or values on the plan or the first redemption of the capitalization contract.
In the event of closure of the plan before or under the conditions provided for in 2 bis of Article 150-0 A of the General Tax Code, after the expiry of the fifth year, it states:
a. The liquidative value of the plan or the redemption value of the capitalization contract at the closing date, diminished of the amounts or values corresponding to withdrawals or redemptions made, consistent with the closing, for the creation or resumption of a business;
b. The cumulative amount of payments made since the plan was opened, reduced the amount of payments for withdrawals or redemptions that did not result in the closure of the plan. »
The second paragraph of section 91 quater I of the same annex shall be replaced by the following provisions:
"In this case, the first manager organization communicates to the new manager:
a. The opening date of the plan;
b. The accumulated amount of payments made on the plan, reduced the amount of payments for withdrawals or redemptions made previously to the transfer of the plan and did not result in its closure;
c. The information referred to in Article R. 96 D-1 of the Tax Procedures Book;
d. The necessary information to the new manager for the determination of the base and the amount of the generalized social contribution, the contribution for the reimbursement of social debt, the social deduction and the additional contribution to that debit, which, if any, will be due later. »
The first paragraph of section 91 quater J of the same annex shall be replaced by the following provisions:
"If the plan is closed before or, under the conditions provided for in 2 bis of Article 150-0 A of the General Tax Code, after the expiry of the fifth year, the holder of this plan must add to the aggregate amount of the assignments that it is required to indicate on the declaration referred to in section 74-0 F the liquidative value of the plan, or the redemption value for a capitalization contract, on the date of its diminished closure of the amounts or values corresponding to withdrawals or redemptions made, concurrently with the closure, for the creation or resumption of a business under the conditions fixed by the second sentence of 2 of 2 of 2 of Article 150-0 A referred to above. The liquidative value is, if any, diminished of the amount of products, tax assets and tax credits included, not benefiting from the exemption provided for in 5° bis of section 157 of the General Tax Code. In the latter case, the taxpayer attached to the above-mentioned declaration the necessary elements to determine the correction. »
After article 91 quater J of the same annex, an article 91 quater K is added as follows:
"Art. 91 quater K. - In order to benefit from the provisions of 3 of III of Article 163 quinquies D of the General Tax Code, the holder of the Share Savings Plan shall address to the plan management agency a document attesting to the honor that the sums or values of which he requests the withdrawal, or the redemption in respect of a capitalization contract, are intended to be allocated to the financing of the creation or resumption of the terms
Within four months of the withdrawal or redemption, the plan holder addresses the manager organization:
a. In the event of the allocation of money to the financing of the creation of a business carrying on an industrial, commercial, artisanal, agricultural or liberal activity, the copy of the receipt of a business creation record as provided for in Article L. 123-9-1 of the Commercial Code, Article L. 311-2-1 of the Rural Code or Article 19-1 of Law No. 96-603 of 5 July 1996 relating to development and
b. In the event of an assignment of money to the financing of the resumption of a business carrying on an activity referred to in a, a copy of the document recognizing the transaction, subject to the formality of the registration and referred to in sections 635, 638 or 639 of the General Tax Code, accompanied by any official document containing the registration of the company and its identification;
c. A certificate of honour issued by the individual contractor, corporation or, in respect of the resumption of a business, the assignor, specifying the date and amount of the amounts or values invested in the undertaking by the plan holder in accordance with the conditions set out in the second sentence of 2 of 2 of 2 of 150-0 Aforesaid;
d. The identity and address of the person(s) exercising in the corporation created or resumed one of the functions listed in the 1st of section 885 O bis of the general tax code or of the individual operator of the enterprise created or resumed and, if necessary, the justification that one of them is the spouse or partner bound by a civil pact of solidarity, ascendant or descendant of the plan holder.
If any of the conditions listed in this section are not met, the withdrawal or redemption shall result in the closure of the Share Savings Plan pursuant to 2 of III of section 163 quinquies D of the General Tax Code and, in the event of withdrawal or redemption before the expiry of the fifth year of the plan, the imposition of the net gain made since the opening of the plan under the conditions set out in the first sentence of the second sentence of 2 of the II of the plan. »
For withdrawals or redemptions of the Share Savings Plan made prior to the date of publication of this Order, the supporting documents provided in a to d of section 91 quater K of Schedule II to the General Tax Code shall be sent to the Management Organization within four months of that date.
The Minister of Economy, Finance and Industry and the Minister for Budget and Reform of the State, spokesperson for the Government, are responsible, each with respect to it, for the execution of this decree, which will be published in the Official Journal of the French Republic.
Done in Paris, December 26, 2005.
Dominique de Villepin
By the Prime Minister:
Minister of Economy,
finance and industry,
Thierry Breton
Minister for Budget
and the reform of the state,
Government spokesperson,
Jean-François Copé
