What type of company can be transferred under the Dutreil regime?

Question for an expert

I am considering transferring my company, am I entitled to the Dutreil tax regime?

In particular, in order for a company to benefit from the benefits of the Dutreil Pact, a system which aims to facilitate the transfer of family businesses through tax relief, it must carry out an eligible activity.

According to Article 787 B of the General Tax Code (CGI), it had to be industrial, commercial, craft, agricultural or liberal. To put an end to the numerous disputes that have arisen around this laconic definition, the legislator clarified its outlines in the 2024 Finance Law.

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It thus confirms the administrative doctrine by ruling that eligible commercial activities are those covered by the CGI, with the exception of the management of the companies’ own real estate assets. Furnished and equipped rental activities are therefore excluded.

Main business

The Financial Act then specifies that the operational activity must be carried out primarily by the company. In other words, the commercial, agricultural, craft, industrial or liberal activity must prevail over the civic activity of the said company.

Finally, the Dutreil Pact is allowed to be created on the securities of a “hosting holding company”, which the law now defines according to the following criteria: its main activity is active participation in the implementation of group policy, it is made up of eligible companies that it directly or indirectly controls and, where appropriate, provides administrative, financial and legal services on a purely internal basis.

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