Juan Carlos Heder

French Tax system : exemption of the profits and imposition of the appreciations of transfer.

The owner not intervening is that which is limited to entrust its horses to a trainer without exerting any diligence.

The profits of race are exonerated from income tax.

On the other hand, the looses are not deductible.

The appreciation carried out at the time of sale of a race horse is subjected to the tax.

This appreciation is decreased by an additional abatement of 15 % per year or fraction of year between the acquisition of the horse and the end of the seventh year of this last, which is abatement added to abatement the general of 10 % applicable, for each year of detention beyond the second, the most been worth with on movable property.

The next amount of the appreciation is taxable at the rate of 27%.

The tax of solidarity on fortune applies to the value of the horses of the non intervening owners.

All these informations can change in accordance with the possible legislative modifications.