Tax shield and Wealth Tax: non-residents taking the bulk of their revenues from France.
The French Tax Service gives the benefit of tax shield and the CAP of WEALTH TAX to non-residents considered tax resident in France under Article 4 B, b or c of French Tax Code as long as they derive most of their income from France. Pursuant to Schumacker decision (ECJ Case 14-2-1995. 279/93), they must be treated as residents ( Inst. 11-1-2011, 13 A-1- 11) when it comes to this guarantee.
France, which had received a legal opinion from the European Commission asking it to change its law on this point, deemed to be inconsistent with the principles of free movement of persons and workers (note IP/10/1405 of 28-10-2010), will not be brought before the ECJ in this respect. However, the statement is silent on the refusal to take into account taxes paid abroad that was the subject of the application on the basis of free movement of capital.