Decisions of the Council of State and the Court of Cassation dated October 8, 2025
Yesterday, the Conseil d'Etat rulings regarding:
The tax treatment of a write-down recognized in connection with the restructuring of a loan and its reversal (CE, 9th and 10th Ch., Oct. 8, 2025, No. 491817, Lebon T.)
the possibility of taking into account the actual value of assets when determining whether a company qualifies as a real estate-dominated entity for the purposes of provisions for impairment of equity securities (CE, paras. 9 and 10, Oct. 8, 2025, No. 493896, Lebon T.)
The non-deductibility of the FRU for CVAE purposes (Court of Appeal, 9th and 10th Chambers, Oct. 8, 2025, No. 495066, Lebon T.)
the classification of a transaction as a single complex transaction and a non-independent ancillary service for VAT purposes (EC, paras. 9 and 10, Oct. 8, 2025, No. 492157, Lebon T.)
the flat-rate tax on the sale of vacant land that has become buildable (CE, 9th and 10th Ch., Oct. 8, 2025, No. 493789, Lebon T.)
The Court of Cassation, for its part, issued an important ruling in which it, among other things, reversed its previous case law regardingadministration inabilityadministration substitute grounds (Cass. Com., Oct. 8, 2025, No. 24-16.995, Published).
It also rules on:
the characterization of a failure to file a declaration of inheritance when such a declaration is set aside by a Court of Appeals (att. 6 et seq.)
the scope of an information-sharing clause authorizing exchanges "in criminal tax matters" (Art. 15 et seq.)
the absence of a violation of Article 1P1 of the ECHR regarding the application of the DMTG to assets transferred upon the settlor’s death (para. 33 et seq.)
the elements required to constitute an express statement (para. 39 et seq.)
breach of attorney-client privilege in connection with the attorney’s advisory or defense activities (Art. 47 et seq.)
the fact that professional secrecy does not preclude disclosure ifadministration justify the correction based on other evidence (Art. 52 et seq.)
the validity of a request for international administrative assistance (Art. 56 et seq.)
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