Landmark French Constitutional Court Decision on the 3% Tax on Dividend Distributions: The French Constitutional Court Ruled That the 3% Tax on Dividend Distributions Is Unconstitutional

Sullivan & Cromwell LLP - October 6, 2017

On October 6, the French Constitutional Court found the French 3% tax on dividend distributions to be unconstitutional in its entirety. This decision was rendered on a tax dispute involving a group led by the AFEP (Association française des entreprises privées), which is the main professional organization representing large French-listed companies, and 42 French-listed corporations, all represented by Sullivan & Cromwell LLP and another French tax firm.