This site uses cookies. Some of these cookies are essential to the operation of the site, while others help to improve your experience by providing insights into how the site is being used. For more information, please see the ProZ.com privacy policy.
Cookie settings
Détermination
fraude contraventionnelle
Apr 2 08:38
1 mo ago
23 viewers *
French term

norme supérieure est commune avec

French to English Bus/Financial Accounting tax avoidance risks
This is a company's universal registration document. In the section on Prevention of tax avoidance risks:

Du fait de sa présence dans de nombreux pays, X est soumis à diverses législations fiscales nationales. Toutefois, l’activité du Groupe est concentrée dans l’espace européen, dont la norme supérieure est commune avec celle de l’établissement de ses comptes consolidés.

This was translated previously as "where the *superior rule is equivalent to* that applying to the preparation of its consolidated financial statements", but I'm not sure that's quite correct. Could this possibly be "where the *higher accounting standard is the same as* that used to prepare its consolidated financial statements"?
Proposed translations (English)
1 with Europe-wide / EU-wide accounting standards being applied to
3 overarching standard is convergent with
References
Nobody gets taxed

Discussion

Daryo Apr 4:
The point they are making is about taxes i.e. not avoiding taxes.

They do that by using for their consolidated accounts the accounting standards of the EU - the ones that they must use anyway, being the ones that trump all other standards if the company is based in EU.

IOW norme supérieure = the one that overrides all other.

Because they refrain from using some other accounting standards that would result in less tax to pay, there is no risk that they could be accused of tax avoidance.

This text makes prefect sense to me. As confirmed by "L’objectif premier de la politique fiscale du Groupe est la sécurité juridique et la stabilité à long terme" IOW "we want to stay legally safe, we have not interest in some short term gains through tax avoidance schemes"

BTW The accounting rules DO HAVE an impact on what will be considered as "the taxable income", and if the taxable income changes, then the amount of tax to pay on it WILL also change. The choice of accounting rules can make a dramatic difference in the final amount of taxes to pay - ask Google, Amazon and Co for details ...
Steve Robbie Apr 3:
Possibly not a reference to accounting standards, then, but a reference to EU law as a whole: the group is subject to overarching EU tax laws, and it also prepares its consolidated accounts according to EU rules (=EU-IFRS).

It is hard to see why exactly that is worth mentioning, though. The accounting rules for consolidated fin. stmts have no bearing on tax law and vice versa.
MoiraB (asker) Apr 3:
Next It's a short section, but the next sentence is: "Dans ce prolongement, il est à noter que le taux effectif d’impôt du Groupe est légèrement supérieur au taux d’impôt sur les sociétés en France, où le siège d’X est établi." Next paragraph begins:
L’objectif premier de la politique fiscale du Groupe est la sécurité juridique et la stabilité à long terme :" (followed by four examples, one of which is: "X acquitte ses impôts et taxes dans les pays où ses activités sont localisées dans le respect des normes nationales et des conventions fiscales internationales ;")
Steve Robbie Apr 3:
I agree too, and it sounds to me like a roundabout way of saying that the group does most of its business in Europe and prepares consolidated accounts under EU-IFRS. That said, my accountancy brain struggles to see why that is relevant to the section on tax risk, so I would like to know what comes next.
Bourth Apr 2:
I agree with you, but for the sake of argument, "whose higher accounting standard is also applied to consolidated financial statements", i.e. designed for application within Europe, it is also applied to the accounts of European companies with European holdings. Unless financial experts can tell me there are in fact two sets of accounting standards, one for application within Europe and another, identical at least in part, for application to overseas holdings.

Proposed translations

5 hrs
Selected

with Europe-wide / EU-wide accounting standards being applied to

Due to its presence in many countries, X is subject to differing legal frameworks for domestic taxation. However, the Group's activity is concentrated in the European area, with Europe-wide / EU-wide accounting standards being applied to preparing / drawing up its consolidated financial statements.

Financial reporting - Finance - European Commission
https://finance.ec.europa.eu › fin...
Groups have to prepare consolidated financial statements. Financial statements must include – as a minimum – the balance sheet, the profit and loss account and ...

Transparency and Exchange of Information for Tax Purposes
https://www.oecd.org › tax › transparency › globa...
PDF
It has already reviewed all of the domestic and international legal frameworks put in place to implement AEOI, making recommendations where necessary. In 2020, ...

Appendix 1: Greater convergence of financial reporting rules
https://www.anc.gouv.fr › anc › ANC › appendices
PDF
reflects the need to consider the role of EU-wide accounting standards in defining these indicators used for the purposes of these standards. This does not ...

There's an IFRS fight on
https://www.iflr.com › article › t...
1 dic. 2008 — ... Europe-wide accounting standards rather than a global set of rules. ... financial reporting standards so far. "Europe has to decide if it wants ...

Law – Page 669
https://www.europeansources.info › ...
1999-10-07, Europe-wide accounting standards move closer. Author (Person): Chapman, Peter Series Details: European Voice Vol.5, No.36, 7.10.99, p28. Published ...

Europe-wide accounting standards move closer - POLITICO.eu
https://www.politico.eu › article
THE European Commission is considering moves to allow listed EU firms to use International Accounting Standards (IAS) in preference to their domestic systems ...

Consolidated Financial Statements
https://www.deloitte.com › cons...
Consolidated accounts drawn up in accordance with international accounting standards. The companies whose transferable securities are not admitted to trading on ...

Handbook on Tax Administration (Second Revised Edition)
https://www.ibfd.org › sites › default › files › 15...
PDF
M Alink · 2016 · — Legal framework for taxation. 63. 1.6.1. Building ... The main objective of integration in the legislative area (e.g. creating links between different...

--------------------------------------------------
Note added at 5 days (2024-04-07 14:54:02 GMT) Post-grading
--------------------------------------------------

Glad to have been of help.
Something went wrong...
4 KudoZ points awarded for this answer. Comment: "Thanks, everyone."
7 hrs

overarching standard is convergent with

.. that for drawing up / preparation of its consolidated accounts.

In a legal context: 'on all fours with'.
Example sentence:

. In addition, the EU has introduced rules to promote the convergence of accounting standards at global level and to ensure consistent and comparable financial reporting across the EU.

“On all fours” is a metaphor used by legal practitioners to describe a previous case with facts that are substantially similar to the case at issue.

Reference:

http://finance.ec.europa.eu/capital-markets-union-and-financial-markets/company-reporting-and-auditing/company-reporting/financial-reporting

http://www.lawinsider.com/dictionary/overarching-principles

Peer comment(s):
neutral Daryo : Roughly that, but it's more than "convergent" it's exactly the same accounting standard as the one used by the company.
1 day 13 hrs
Something went wrong...

Reference comments

2 days 4 hrs
Reference:

Nobody gets taxed

on the basis of their [i]consolidated[/i] financial statements. Tax is levied on each company individually, on the basis of its own financial statements, drawn up under the relevant national rules. But I agree that they are trying to say something about their plain dealing as regards taxation.
Something went wrong...
Close search
Term search
  • All of ProZ.com
  • Term search
  • Jobs
  • Forums
  • Multiple search