Law n° 2011-900 of July 29, 2011 establishing a specific tax regime for trusts in France created, among others, several disclosure obligations for trustees. The law stated that a decree will determine the modalities of such disclosure obligation. This decree has not yet been published.

Due to practioners’ concerns in the absence of any indication as to the deadline to file the trustees’ declarations for 2012, on July 24, 2012 the tax administration released administrative guidelines specifying that exceptionally for 2012, the deadline will be September 15:

  • The filing of the disclosure by the trustees as per section 1649 AB alinea 2 of the FTC (i.e., annual declaration of the fair market value on January 1st, of the rights, assets or income within the trust) should thus be due at the latest on September 15, 2012 with the tax center for foreign enterprises.
  • The deadline for the payment of the sui generis withholding tax under section 990J of the FTC (due in the absence of declaration of the trust assets for wealth tax (ISF)), due upon filing of the above-mentioned annual declaration, will also be September 15, 2012.

Affected trustees should now expect the decree to be published very shortly. This will enable them to implement their disclosure and payment obligations by September 15, 2012.