The Senate Finance Committee went to Bercy on Thursday to demand clarifications on a device that would fight against the diversion of dividends but whose application by the government increases the fears of a “leather against the scammers.”
The Senator of Meurthe-Et-Poselle Jean-François Husson (Les Republicins), general rapporteur of the Senate Budget, led in the morning a “control over pieces and on the site” in the Ministry of Economy and Finance, an operation that allows parliamentarians to request the delivery of internal notes and other documents, AFP scored. He is concerned to see an emptiness of his substance an anti -fraud system, which, however, was adopted in the last financial bill by 2025, a mechanism of which the Senate was in the initiative and that had already proposed in 2018, without success.
“The government has again overlooked the will of the legislator. It is not heard. When Parliament votes, no one should trample it, overlook it,” it was bothered, just before entering the ministry. The system intended to fight a fiscal evasion ploy based on values exchanges called “Cumcum”. It allows certain foreign shareholders of French companies to avoid taxes at the dividend source by temporarily entrusting their actions to a French third party, in this case a bank, against remuneration.
“Important efforts for the French”
The mechanism voted in the budget completed this violation by imposing in particular that the withholding tax is applied to the “effective beneficiaries” of the distributed products. But the Senate Finance Committee is concerned about editorial staff, in April, for a request text in the Official Gazette of Public Finance (Bofip), indicating that this device would not apply to the “regulated markets” when “the establishment of the payer does not know its counterpart.” An exception that senators consider as a violation that attenuates the effect of the measure.
This “Cumcum” practice, which is the issue of several surveys open by the National Financial Prosecutor (PNF), would represent, according to the Senate’s work, several hundred millions of euros in the year for the State. “At the time when we are going to ask for significant efforts from the French to straighten the accounts, we cannot continue with an oversight to the scammers,” Jean-François Husson insisted.
Source: BFM TV
