Tax commitments. It should be noted that the two UCIs in question are exempt from corporation tax pursuant to Article 208-1 A bis of the Xxxxxx Xxxxxxx Tax Code. They will therefore place this merger under the tax regime provided for in Articles 115 A, 210 A to 000 X, 000 and 832 of the Xxxxxx Xxxxxxx Tax Code. In accordance with the regulations in force, on the date this merger agreement was entered into, the tax regime governing natural persons and legal entities would be as follows: Taxation applicable to natural persons resident in France – excluding shares held in an equity savings plan (plan d'épargne en actions or PEA): Shareholders or unitholders – natural persons resident in France – benefit from the tax deferral regime: The exchange does not form part of the capital gains calculation for income tax purposes in respect of the year of the exchange. The realised capital gain or loss is calculated only when the securities received at the exchange are sold or redeemed later by reference to the cost price of the shares or units of the Absorbed Fund. Taxation of resident corporate entities: Shareholders – legal entities subject to corporation tax or legal entities subject to income tax if taxed under a BIC (Bénéfices Industriels et Commerciaux) or BA (Bénéfices Agricole) regime – of the Absorbed Fund who make a loss or profit on the exchange transaction must report this under the provisions of Article 38-5 bis.
Tax commitments. It should be noted that the two UCIs in question are exempt from corporation tax pursuant to Article 208-1 A bis of the Xxxxxx Xxxxxxx Tax Code. They will therefore place this merger under the tax regime provided for in Articles 115 A, 210 A to 000 X, 000, and 832 of the Xxxxxx Xxxxxxx Tax Code. In accordance with the regulations in force, on the date this merger agreement is entered into, the tax regime governing natural persons and legal entities would be as follows: Taxation applicable to natural persons resident in France – excluding shares held in an equity savings plan (plan d'épargne en actions or PEA): Shareholders or unitholders – natural persons resident in France – benefit from the tax deferral regime: The exchange does not form part of the capital gains calculation for income tax purposes in respect of the year of the exchange. The realised capital gain or loss shall only be calculated upon the subsequent sale or redemption of the securities received for the exchange by reference to the cost price of the units or shares of the Absorbed Sub-fund. Taxation of resident legal entities: Shareholders – legal entities - subject to corporation tax or legal entities subject to income tax if taxed under a BIC (Bénéfices Industriels et Commerciaux) or BA (Bénéfices Agricoles) regime – of the Absorbed Sub-fund who make a loss or profit on the exchange transaction must report this under the provisions of Article 38-5 bis.
Tax commitments. All Transfer Taxes resulting from any transaction affected by or under this Agreement shall be borne by the Party responsible for the payment of such taxes under the Applicable Law. Telefónica and FrHolding108 shall cooperate with each other in a timely manner with respect to preparing and making all filings, returns and reports as may be required to comply with any Applicable Law in connection with the payment of the Transfer Taxes. EXECUTION VERSION July 29, 2015
