In France, it is now possible to apply for a later payment of tax due if the companies can prove that they are financially affected by Coronavirus.
Following an announcement from the French President, all companies could benefit from the postponement of tax and social installments or even tax rebates in the most extreme or difficult situations. The tax relief announcement does not indicate that a formal request is required from taxpayers.
The French tax authorities (FTA) have put in place a request to postpone payments for companies in difficulty following the Covid-19. So, it is possible for the taxpayers to request from the FTA, the postponement without penalty of the payments of their next direct tax installments. Postponement of payment is granted for a period of 3 months on request.
The request provided indicates that the possibility to request a defer of payment is opened to all business taxes with the exception of VAT and assimilated taxes.
Please note that the FTA indicates on their website that if taxpayers have already paid their March due dates, they may still have the possibility to oppose the SEPA Direct Debit with their online bank. Otherwise, they can also request a refund from their corporate tax office (FTA) once the SEPA Direct Debit has taken place.
The request must be presented to the FTA (“Service Impôt des Entreprises”).
The Sevestre & Associes Team remains at your disposal should you have any questions or to assist you and your clients.
For more information, contact:
Sevestre & Associes
Date: March 2020