DEDUCTIBILITY OF THE PROFIT SHARE PREMIUM FOR CIT PURPOSE

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27/10/2011

DEDUCTIBILITY OF THE PROFIT SHARE PREMIUM FOR CIT PURPOSE

The Profit share Premium, created by the amended finance law n° 2011-894 dated July 28th 2011, is qualified as an additional compensation attributed to employees. Therefore, this profit share premium is deductible for corporate income tax purposes from the company taxable income as long as its amount is not excessive and correspond to an effective work (Tax ruling decision dated October 18th 2011 No 2011/28).

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