France Administrative Court of Appeal of Nantes Clarifies Income Tax, VAT Deduction Rules for Entrepreneurs

The French Administrative Court of Appeal of Nantes Oct. 21 issued Decision No. 25NT00147, clarifying the individual income tax deduction rules for entrepreneurs. The taxpayer, an entrepreneur, was assessed additional individual income tax and VAT as a penalty for unpaid taxes following an audit. The Administrative Court of Caen denied the taxpayer’s request to discharge the additional taxes and the taxpayer appealed. On appeal, the Administrative Court of Appeal of Nantes found that: 1) the taxpayer failed to show that the additional VAT amount assessed was excessive or improper; 2) the depreciation amounts deducted from the taxpayer’s profits were properly ...