French Supreme Court Decision Reinforces that the Exemption from 3% Tax on Dividend Distributions Applies for Foreign Groups

On 29 March 2017, the French Council of State (Conseil d'État - Supreme Court) issued its decision that the exemption from the 3% tax on profit (dividend) distributions (previously) only available for French tax-consolidated groups is incompatible with the EU Convention for the Protection of Human Rights and Fundamental Freedoms. The limit of the exemption to French consolidated groups was also ruled unconstitutional by the French Constitutional Court (Conseil Constitutionnel) in September 20…