The taxpayer is a member of management. According to the departure agreement, the employer is covering the pension gap with a PV fund repurchase. The salary certificate reflects this repurchase. The day after the employment relationship ends, the taxpayer requests the payment of their pension benefits in a lump sum.
The tax authorities tax capital withdrawals (including recent redemptions). The tax authorities tax income and wealth in the year employment ends by refusing to allow the redemption to be deducted and announce that the taxation of capital withdrawals will only be corrected once income-wealth taxation comes into force.
Federal judges are examining the employer's buy-back scheme and its tax qualification.
Firstly, they note that there is effective double taxation, which is contrary to the law. (Grounds 2.3.) Indeed, it does not appear anywhere in the judgment that the administration would correct the taxation of the capital withdrawal, nor under what terms. (Grounds 2.4.) Furthermore, the grounds for correcting a final decision are limited, and an initial error of law is not one of them. The taxpayer is required to assert their rights in the separate tax assessment proceedings and not during the assessment of their annual income. (Grounds 2.4.1.)
Federal judges note that the taxpayer had informed six months before the capital withdrawal that the employer was going to carry out a buy-back. The amount of the buy-back was even specified. This information was also indicated in the annual tax return. Despite all this information, the tax authorities taxed the entire severance payment. (cons. 2.4.2.)
Annual taxation is in contradiction with capital gains taxation. As capital gains taxation cannot be corrected, then annual taxation must allow for buybacks (consideration 2.5.).<\/p>\n\n\n\n
TF, judgment 9C_421\/2025, of 8 April 2026<\/p>","protected":false},"excerpt":{"rendered":"
Le contribuable est membre de la direction. Selon la convention de d\u00e9part, l’employeur comble la lacune de pr\u00e9voyance par un rachat LPP. Le certificat de salaire refl\u00e8te ce rachat. Le lendemain de la fin des rapports de travail, le contribuable demande le payement en capital de ses avoirs de pr\u00e9voyance. Le fisc taxe le retrait […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-456","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"acf":[],"yoast_head":"\n