SASU Subject to Income Tax: Is the Appeal Against the Ministerial Response Admissible?

As we noted earlier, theadministration reasoning, as set forth in the ministerial response dated June 2, which forms the basis for the wave of income tax reassessments targeting SASU shareholders, appears highly questionable.

We will therefore file an appeal seeking the annulment of this ministerial response by August 2.

Is this appeal, however, admissible?

The case law of Conseil d'Etat appeals against ministerial responses does, in fact, impose strict conditions for such appeals to be admissible: the ministerial response must be enforceable againstadministration by a taxpayer, as permitted by Article L.80 A of the LPF.

As the Conseil d'Etat noted, in particular, Conseil d'Etat a decision dated July 16 of this year (CE, 8th and 3rd Chambers, July 16, 2026, No. 514132, Lebon T.), this means that if an interpretation is unfavorable to taxpayers, the appeal is not admissible.

So does that mean the appeal against the ministerial response is not admissible?

The ministerial response is not favorable to taxpayers who are subject to tax assessments, but the Conseil d'Etat , for an appeal to be admissible, that the appellant be able to rely on the interpretation set forth in the ministerial response. It requires that a taxpayer (who is therefore not necessarily the appellant) be able to rely on the position expressed in the response.

Thus, with regard to the ministerial response concerning the SASU’s income tax liability, there are taxpayers who could invoke this response. The appeal could therefore well be admissible, especially since the ministerial response potentially reveals other administrative acts that could be challenged.

So you're filing an appeal without knowing whether it's admissible?

In fact, the purpose of the appeal is not to overturn the ministerial response but to obtain a ruling from Conseil d'Etat onadministration.

In its July 16 decision declaring the appeal inadmissible, the Conseil d'Etat indeed dismiss the appeal but specified to what extent the ministerial response was unlawful.

Regardless of whether the appeal against the ministerial response regarding SASUs and income tax is admissible, this means that the Conseil d'Etat likely Conseil d'Etat whether the position adopted byadministration impose mass tax adjustments on taxpayers is in accordance with the law.

It is also virtually certain that the public rapporteur, who is a member of Conseil d'Etat, will include in his or her conclusions an analysis of the position expressed byadministration the ministerial response.

The appeal will therefore be very helpful to taxpayers facing tax assessments, as it could put an end to the assessments or, conversely, ifadministration interpretationadministration upheld, prevent taxpayers from initiating proceedings that have little chance of success.

If you'd like, you can contact us to discuss this topic.

This legal watch provided by Mispelon Avocat, a law firm specializing in French tax audit and French tax litigation. You can stay legal watch subscribing to the newsletter via this link.