5% tax on sales of TV and radio channels holding a terrestrial frequency

Article 44 of the 2013 Amending Finance Act created a 5% tax (Article 1019 of the General Tax Code) on the value of shares contributed, sold or exchanged when the transaction transfers control of a company holding an authorisation to use terrestrial frequencies, after approval by the broadcasting regulator (CSA). The tax only applies if transactions over six months total at least €10m; transactions between companies of the same group are exempt. It is due by the seller when approval is granted and paid by 1 May of the following year. It entered into force on 1 January 2014. The measure came from an amendment by Christian Eckert, general rapporteur of the National Assembly finance committee.