The Pacte Dutreil is a scheme that, under certain conditions, allows for a significant reduction in the taxable value of company shares transferred through gift or inheritance, provided a long-term commitment to retain the shares is honoured.
This commitment happens in two stages: a collective retention commitment, made by several shareholders before the transfer, followed by an individual commitment made by each beneficiary after the transfer.
The scheme also requires one of the signatories to hold a management position within the company for part of the commitment period, making it a tool designed for genuinely family-run, operating businesses.
Failing to honour the retention commitments can lead to the tax benefit being clawed back: how rigorously the arrangement is structured and monitored over time matters just as much as the initial decision to set it up.
Given how technical this scheme is, it's generally built with input from several advisors (notary, accountant, lawyer): our teams can coordinate this work alongside your other usual advisors.