FRANCE – Partial deduction of VAT on gasoline
Starting 1st January 2017, VAT on gasoline expense becomes partially deductible : the article 298.4.1.a. of the French Tax Code allows to deduct 10% of the VAT incurred on gasoline expenses. The deductible proportion will gradually increase, to reach 80% in 2021. Until then, the VAT on gasoline costs was entirely non-deductible, whereas the VAT on diesel costs was partially deductible (80%).