Parliamentarians have the possibility to send written questions to the Government.
It is in this context that one of them questioned the Minister of Economy, Finance and Industrial and Digital Sovereignty about :
- "The difference in major treatment between sole proprietorships and companies benefiting from the so-called IP Box regime (article 238 of the CGI). "
- And on what the Government intends to put in place " to improve the IP Box regime and to remedy the difference in treatment that it creates.
The major differences between sole proprietorships and companies benefiting from the IP Box regime
The The preferential regime, provided for in article 238 of the CGI, can be applied to products derived from certain intellectual property rights, a reduced rate of 10%.
Also, the deputy specifies that the preferential rate (10%) applies in an undifferentiated manner for companies subject to corporate income tax (IS) and for individual companies subject to income tax (IR). This has the effect of significantly reducing the corporate income tax rate from 25 % to 10 % (article 219 I. a. of the CGI), while the reduction in the income tax rate for sole proprietorships is almost anecdotal.
She therefore asks the government what it intends to do to improve the IP Box system and to remedy the difference in treatment that it creates despite itself.
The Member of Parliament draws attention to the recommendations of the European Union and to the mechanisms put in place by our European neighbors, such as than "Belgium or Luxembourg, where an abatement on the taxable base is applied, respectively of 85 % and 80 %".
The Question was published in the Official Gazette on December 27, 2022, we expect the answer of the government during 2023.
Source: Question N° 4442 by Mrs Louise Morel - Democrat (MoDem and Independents) - Bas-Rhin
