TLDR: To obtain a tax relief or refund, you must declare the donation using form n° 2074-ET (CERFA 14554), prove that the deed contains no restrictive clauses, and that the donation is not primarily intended to evade tax. The relief is automatic after two years (or five years if the total value exceeds €2.57 million) or upon returning to France, provided the securities remain in your assets. In cases of partial donation or usufruct/bare ownership, only the tax proportional to the transferred securities is affected.
Prerequisites for the request
Latent capital gains tax applies when you transfer your tax residence outside France for securities, social rights, or debts held by your tax household, provided these assets represent at least 50% of a company's social profits or their total value exceeds €800,000 on the date of the transfer.
Application procedure
You must submit a specific request using form n° 2074-ET (CERFA 14554). This declaration must specify the nature and date of the event (donation, death, etc.) triggering the request. In case of death, heirs or beneficiaries must file declarations n° 2042 (CERFA 10330) and 2074-ET.
Supporting documents to provide
To support your request, you must provide a securities account statement, issued by the account holder, certifying the presence of the securities on the date of the event (donation, death, etc.). This statement must list the securities concerned and their quantity.
Special cases of donation
In cases of partial donation of securities or donation of usufruct or bare ownership, the relief or refund only applies to the portion of the tax relating to the transferred securities or rights. The donation deed must not contain restrictive clauses allowing the donor to effectively enjoy the securities or their proceeds after the transfer.
Deadlines and conditions for automatic relief
The relief or refund is automatic after two years following the transfer of tax residence outside France, or earlier if you return to France, provided the securities remain in your assets at that time. This period is extended to five years if the total value of the securities exceeds €2.57 million.
Legitimacy conditions for the donation
The relief or refund is granted only if the donation is not made primarily to evade tax. You must demonstrate the absence of such tax-avoidance intent to benefit from the scheme.
Limits and adjustments
If, upon the occurrence of an event (sale, gratuitous acquisition), the capital gain from the sale or the increase in the value of the securities is less than the calculated latent capital gain, the tax is withheld up to the amount recalculated based on the difference between the price or value of the securities on the date of the event and their purchase price or value.