France proposes three-month tacit tax ruling procedure

Who could use the procedure

Article 29 of Bill No. 3210 would create an optional experiment running until 31 December 2028. It would cover businesses benefiting from a partnership under Article 2 bis(2) of the Order of 23 December 2013 governing the Directorate for Large Enterprises, as in force on 1 October 2026, and businesses in the tax-support programme for small and medium-sized enterprises. Programme participation would therefore be an eligibility condition.^[2]

How tacit acceptance would work

A qualifying business would submit a written, precise, complete and good-faith request for a formal position on how a tax provision applies to its facts. If the tax administration did not provide a reasoned response within three months of receipt, the guarantee in the first paragraph of Article L80 A of the Book of Tax Procedures would apply. The bill's explanatory note describes this as acceptance in the terms presented by the business.^[2][3]

Article L80 A currently prevents reassessment of earlier taxes where a good-faith taxpayer's interpretation of tax law had been formally accepted by the administration. The proposed experiment would extend that protection through silence on an eligible ruling request. The accuracy and completeness of the disclosed facts would consequently be central to the protection obtained.^[2][3]

Exceptions and implementation

Tacit acceptance would not apply if the receiving service referred the request to the Directorate of Tax Legislation or the Legal Certainty and Tax Audit Department. A Conseil d'État decree would prescribe the option, filing, acknowledgement, missing-information and referral procedures. It would also determine the operational start date, which is not fixed by Article 29 itself.^[2]

What multinational groups should track

French group companies using the relevant support arrangements would need to establish eligibility, frame the facts and tax question precisely, and monitor receipt and any referral. The measure remains proposed legislation: Parliament must enact it and the implementing decree must take effect before businesses can rely on the experiment. The bill also requires an evaluation to be sent to Parliament at least three months before the experiment ends.^[1][2]