4c: Levy on fixed-income investment income and income from European capitalisation bonds or contracts

I. - Individuals domiciled in France for tax purposes within the meaning of Article 4 B who belong to a tax household whose reference tax income for the penultimate year, as defined in 1° of IV of article 1417, is equal to or greater than the amounts mentioned in the last paragraph of I of article 125 A and who benefit from income or products listed in the same I or from products and gains mentioned in 2 of II of article 125-0 A are subject to the levy provided for in I of article 125 A, at the rates set, depending on the case, in III bis of the same Article 125 A or in 2 of II of Article 125-0 A, when the person who ensures their payment is established outside France, whether or not this is the debtor of the income or proceeds, the latter being established in France or outside France.

II. - Individuals domiciled in France for tax purposes within the meaning of Article 4 B who receive income or gains from the sale of capitalisation bonds or contracts and similar investments mentioned in the second paragraph of paragraph 2 of Article 122 may opt, in respect of only the fraction of income or gains attached to premiums paid up to 26 September 2017, for them to be subject to the levy provided for in the first paragraph of 1 of II of the article 125-0 A, at the rates set out in 1 of II of that same article. For this purpose, the duration of capitalisation bonds or contracts as well as investments of the same nature refers to their effective holding period by the taxpayer.

The foreign source income mentioned in the first paragraph is retained for its gross amount. The tax withheld at source is deducted from the levy up to the limit of the tax credit to which it gives entitlement, under the conditions provided for by international agreements.

III. - Subject to the provisions of the third paragraph of 1 of II of article 125-0 A, the levy referred to in II of this article releases the income, products and gains to which it applies from income tax.

IV. - The income, products and gains for which the taxpayer is subject to the levy provided for in I or opts for the levy provided for in II are declared and the corresponding levy paid, either by the person who ensures payment of the said income, products and gains, when he is established outside France in a Member State of the European Union or in another State party to the Agreement on the European Economic Area which has concluded an administrative assistance agreement with France with a view to combating tax fraud and evasion, and that it has been authorised to do so by the taxpayer, or by the taxpayer himself, within fifteen days of the month in which the income or proceeds are received or entered in the account or, in the case of a gain, within fifteen days of the month in which the disposal is made.

The option for the levy provided for in II is irrevocable and is exercised by the filing of the declaration of the income, products and gains concerned and the payment of the corresponding levy under the conditions and within the time limits provided for in the first paragraph.

When the declaration provided for in the first paragraph and the payment of the corresponding levy are made by the person who ensures the payment of the income, products and gains, it is drawn up in the name and on behalf of the taxpayer.

Failing receipt of the declaration and payment of the levy referred to in II under the aforementioned conditions, the income and gains shall be taxable under the conditions of ordinary law.

The taxpayer shall make available to the administration all the information required to establish the levy.

V. - Income, proceeds and gains from disposals subject to the levy under the conditions of I and II are withheld for their gross amount. The tax withheld at source is deducted from the levy referred to in II up to the limit of the tax credit to which it gives entitlement as provided for by international agreements.

VI. - The administration may enter into an agreement with each person established outside France authorised by taxpayers to pay the levy under the conditions set out in IV, which sets out the terms and conditions for all of these taxpayers.

VII. - A decree shall set out the terms and conditions for the application of this article, particularly in terms of declarations.

>VII.