The amount of income tax realized last year in France varies greatly for French banks, with two of them, however, reporting a notable drop, according to their universal registration (DEU) documents.
The first European bank, BNP Paribas, indicates an amount of taxes to be paid in France last year at 308 million euros, almost three times less than that indicated last year for 2021. The war in Ukraine weighed on the bank’s results and by both the amount of current tax announced in France by BNP Paribas for the past year, via the depreciation of its local subsidiary Ukrsibbank. With the amount of global tax on profits staying more or less the same from year to year for BNP Paribas – 3 billion euros – this demotes the French contribution from 29% to 10%, behind the UK and Turkey.
The second French bank, Crédit Agricole, sees its own increase in one year, to 892 million euros by 2022. The two together are far from the contribution of the mutual group BPCE alone, which brings together the Banques Populaires and the Savings Banks. Savings, for which the current tax amounts to 1,800 million euros by 2022.
A negative net result in France
Unlike its competitors, Société Générale reports in its DEU a current tax credit in France for 2022, of 11 million euros. If the bank generated a net profit of 2,000 million euros last year, the French sphere suffers the recognition of the loss linked to the catastrophic sale of Rosbank, its retail banking subsidiary in Russia.
Therefore, the net result in France fell into negative territory, paving the way for a tax credit in his country. Adding to the current tax other taxes and levies such as employers’ social charges, the commercial tax or even the mandatory contribution to the Single Resolution Fund (FRU), the banks defend themselves from much higher social and fiscal contributions: 4 billion euros in France in 2021 for Société Générale, 7.2 billion last year worldwide for BNP Paribas.
Source: BFM TV
