Presentation of the current device of tax incentive to the investments overseas known as "Loi Pons"
The General Code of the Taxes (" CGI ") allows four forms of defiscalisation in favour of the investments carried out, until December 31 2002, in the DOM-TOM (included there local authorities, the Eparses islands and the Clipperton island).
These defiscalisations which take mainly the form of accounting extra tax deductions are subjected to various conditions whose principal ones are that the investment must be new, redeemable, productive, body and carried out in certain branches of industry :
Industry
The investment must be maintained in assignment during at least five years, or its normal length of time of use if it is lower.
The amount of the tax deduction is equal to the amount net of tax of the investments decreased by the value of the public grants obtained or required for the financing of their cost price.
The defiscalisation is subordinated to the granting of a preliminary tax approval which is granted if the program is of economic interest for the department, if it is integrated in the policy of regional planning and environment, if it guarantees the protection of the investors and the third parties and if it supports the maintenance or the creation of jobs in the department or territory concerned. However certain investments of amounts lower than 5 million (or 2 million for certain indirect investments) do not require approval.
Moreover, the reductions of IRPP are planned for certain rental of real estate investments within a particular framework (article 199 undecies).
For more information, please contact us :
Tel : 33 (0)1 56 39 33 43
Fax : 33
(0)1 56
39 48 61
e-mail : ing-domtom@wanadoo.fr