Tax credit for relocating to France activities moved outside the European Economic Area

Article 22 of the 2005 Finance Act creates Article 244 quater I of the General Tax Code. Businesses that bring back to France, from 1 January 2005 to end-2006, an activity previously moved outside the EEA receive, subject to approval, a tax credit equal to the staff costs of the jobs created multiplied by a declining coefficient over five years (0.5 in year one, then 0.4, 0.3, 0.2 and 0.1). In regional aid zones an additional credit of 10%, 15% or 20% of staff costs or investment applies for three years (65% in overseas departments), plus 10 points for SMEs. Several sectors are excluded.