Taxing victory
(This article first appeared in The Law Gazette, 20 June 2002)
French firm Fauchon Levy - which also has a London office -
has won a ruling from the French tax administration over discriminatory
treatment of a UK charity. The case involved a French and UK
cancer charity which inherited from a person domiciled in France,
whose estate was divided between the two countries. The Inland
Revenue exempted the UK charity and taxed the French charity
at 40%; however the French tax authorities exempted the French
charity and taxed the UK one at 60%. After the firm's challenge,
the French authorities have granted both charities similar status.
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