Tax on Share Sales

[dp]

Hello I wonder if anyone could answer a question for me regarding the Capital Gains Tax on Share Sales. I believe that in 2007 there is a tax exempt limit in turnover of share transactions of 20,000 Euros and I have a few questions regarding this : Is this limit per household or per person ? If you exceed the limit, is the first 20,000 Euros of turnover still exempt, or is all the associated profit taxable (ie if the turnover is 20,001 is all the profit taxable) ? If you do not exceed 20,000 Euros do you need to put anything on the tax return ? Are UK Unit Trusts classed as share transactions ? If a transfer is made between two unit trusts within the same company does this generate a 'transaction event' as it does in the UK ? Thanks in advance for any help. Regards David

[chessfou]

[quote]I wonder if anyone could answer a question for me regarding the Capital Gains Tax on Share Sales. [/quote]

As it happens, yes I can.

[quote]I

believe that in 2007 there is a tax exempt limit in turnover of share

transactions of 20,000 Euros and I have a few questions regarding this

:[/quote]

The limit is €15,000. Yes, it is "turnover" not "gain." €15,001 and you must declare  (see form 2074 & the relevant notes 2074NOT - the limit and its application is clearly stated on page 2 of the notes which can be downloaded from the link at www.impots.gouv.fr).

[quote] Is this limit per household or per person ?[/quote]

Per foyer/household [I'm only 90% certain on this one].

[quote] If you

exceed the limit, is the first 20,000 Euros of turnover still exempt,

or is all the associated profit taxable (ie if the turnover is 20,001

is all the profit taxable) ? [/quote]

Unfortunately, the whole lot (rem. the limit is €15k).

[quote] If you do not exceed 20,000 Euros do you need to put anything on the tax return ?[/quote]

No, because you won't need to complete a 2074, assuming the total of your sales is €15k or less.

[allanb]

[quote user="chessfou"]The limit is €15,000. [/quote]Just to clarify: the limit was €15,000 for 2006 transactions (to be reported in the 2007 declaration) but I understand it's going to be €20,000 for 2007 transactions (to be reported in the 2008 declaration).  I'm not sure which was meant in the OP.

Also, I'm pretty sure the limit applies to total sales of all assets that could give rise to capital gains tax - not just shares.  It may not make any difference in this case, but it might if you sold a second house or something in the same year.

I don't know any reason why a unit trust holding would be excluded.

[dp]

Thank you to you both for the replies.

I was referring to the new limit of €20,000 for 2007 to be reported in 2008.

Thanks again for your help.

Regards
David