THE COUNCIL OF STATE RULES ON THE TAXATION OF A CAPITAL GAIN ON THE SALE OF AN AMERICAN PARTNERSHIP

In a decision dated 2 February 2022, the Conseil d’Etat ruled on the taxation of the gain on the sale of shares (interests) in a partnership under US law, holding that the right to tax was vested in the country of residence of the selling partner, in this case France. To our knowledge, this is the first decision rendered by the Conseil d’Etat on this issue, the practical scope of which could prove to be important.

Read the full article, co-authored by our tax law partner Jérôme Assouline and associate Jean Barrouillet, on the website of Le Monde du Droit here: https://www.lemondedudroit.fr/decryptages/83392-conseil-etat-se-prononce-imposition-plus-value-cession-partnership-americain.html