Wealth tax: exemption of three quarters of shares held by employees and executives, and of shares under a Dutreil pact

Article 26 of the 2006 Finance Act creates Article 885 I quater of the General Tax Code: shares in a company where the taxpayer works as an employee or corporate officer are exempt from the wealth tax (ISF) for three quarters of their value, provided they are kept for six years. The exemption continues after retirement if the shares were held for at least three years, and extends to employee savings funds invested in the company. The same article raises from one half to three quarters the exemption of shares under a collective holding commitment (Dutreil pact, Article 885 I bis). It stems from an amendment by the National Assembly finance committee. The wealth tax was abolished on 1 January 2018.