Factsheet 9
Capital gains or losses of asset sales
The gain on the sale of shares is called a “capital gain”, and the loss is called a “capital loss”.
09
How are they calculated?
Capital gains or losses of asset sales are the difference between their sale amount and their purchase amount.
| Share Sale Amount |
(Unit sale price x number of shares)
Sale transaction fees and taxes This information is included in your sale transaction statement. |
|---|---|
 Share Acquisition Amount |
(Unit purchase price x number of shares) (a)
Purchase transaction fees and taxes This information is included:
|
 Capital Gain or Loss Net of Broker Fees |
See Factsheet No. 10 for the taxation of capital gains. |
(a) Unit purchase price adjusted, where required, for the attribution of free shares during the share holding period.
(b) Forms are available from the tax authorities or on the impots.gouv.fr website.
Good to know...
(For French tax residents according to the applicable regulations)
TWO SCENARIOS THAT PROVIDE EXEMPTION FROM CAPITAL GAINS TAX IN FRANCE
- Having a Share Savings Plan (“PEA” in French) and keeping your shares for a period of five years from the account opening date. The capital gains realized after this period are only subject to social security contributions. Important: shares from another account cannot be transferred to a Share Savings Plan. Only transfers from the share savings plan’s cash account can be used to invest in shares. The cash investment limit is €150,000 per plan.
- Making a gift up to maximum amounts set by French law is still fully exempt from rights, taxes and social contributions. Unrealized capital gains on shares are then tax exempt, as long as the transaction is reported to the tax authorities (see Factsheet No. 11). For gifts planned for the holiday season, please plan ahead from September.