France: Domestic Corporate Taxation
Withholding Taxes on Outgoing Dividends
Dividends paid by French holding companies are subject to a standard rate of 30% withholding tax unless:
- The parent corporation is resident in the EU and has held 10% of the shares (15% prior to 2009) in the French holding company for at least 12 months in which case no withholding taxes are levied.
- The parent corporation is not an EU entity but the rate is reduced by the provisions of a double taxation treaty usually to 0-15% with lower rates often granted if the foreign parent corporation has a higher shareholding. France has over 110 double taxation treaties in place.