France Joins Nations Denying Aid to Companies in Tax Havens

April 23, 2020, 7:22 PM

France will withhold coronavirus relief from companies based in tax havens, the finance minister said.

“It goes without saying that if a business has its tax headquarters or subsidiaries in a tax haven, I want to say very strongly that it will not be able to get cash help from the state,” French Minister of Economy and Finance Bruno Le Maire said Thursday in an interview on France Info.

  • Companies that have benefited from cash loans from the state can’t pay dividends or do share buybacks, Le Maire also said.
  • The Danish government likewise announced April 18 that it would deny aid to companies based in tax havens, and that it was requiring companies benefiting from aid to agree not to pay dividends or buy back shares in 2020 or 2021.
  • Poland announced similar measures earlier in April.

Check out Bloomberg Tax’s country-by-country roadmaps covering direct and indirect tax developments.

—With assistance from William Horobin (Bloomberg)

To contact the reporter on this story: Isabel Gottlieb in Washington at igottlieb@bloombergtax.com (Bloomberg Tax)

To contact the editors responsible for this story: Meg Shreve at mshreve@bloombergtax.com; Kathy Larsen at klarsen@bloombergtax.com (Bloomberg Tax)

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