FRANCE Law and Practice Contributed by: Elodie Mulon, Jennifer Tervil, Romane Lemaitre and Emmanuelle Bonboire-Barthélémy, Chauveau Mulon & Associés
In practice, for an association to benefit from exemp - tion, it must demonstrate that its activities fall within the specific categories identified by Articles 794 and 795 of the CGI. Associations whose activities do not align with these criteria will be required to pay inherit - ance tax on the assets they receive through a legacy. 10.2 Common Charitable Structures Under French law, the most commonly used struc - tures for philanthropic planning are foundations, associations and endowment funds. Foundations are distinguished by their permanence and favourable tax treatment, while associations offer greater flexibility. Endowment funds, although recent, are a modern and effective alternative for mobilising private resources. The choice between these structures will depend on the specific objectives of the philanthropic project, the resources available, and legal and tax constraints.
169 CHAMBERS.COM
Powered by FlippingBook