Tax exemptionOngoing
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Defence Restructuring Zones (ZRD) — Employer Contribution Exemption

Amount or advantage indicated: an exemption from employer contributions for 3 years, up to 1.4 times the minimum wage (SMIC). Above 1.4 SMIC, the exemption tapers and falls to zero for pay of 2.4 SMIC or more. The exemption is then reduced by one third in the 4th year and by two thirds in the 5th year.

Defence restructuring zones (ZRD) were set up to address the economic consequences of the reorganisation of the military map, through tax and social exemptions. The public indicated in the catalogue is: companies that create an establishment in a defence restructuring zone (ZRD) during a 3-year period starting either on 1 September 2009 or on 1 January of the year before the one in which the area or municipality is recognised as a ZRD. The new activity must be industrial, craft or commercial; or liberal if carried out by a company subject to corporation tax; or the rental of equipped business premises (for example a factory with its manufacturing machinery, a restaurant with kitchen and customer equipment, a warehouse with storage and shipping equipment).

Funded by Ministère de l’Economie, des Finances et de la Souveraineté Industrielle, Energétique et Numérique

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Who can apply

Companies that create an establishment in a defence restructuring zone (ZRD) during a 3-year period starting either on 1 September 2009 or on 1 January of the year before the one in which the area or municipality is recognised as a ZRD. The new activity must be industrial, craft or commercial; or liberal if carried out by a company subject to corporation tax; or the rental of equipped business premises (for example a factory with its manufacturing machinery, a restaurant with kitchen and customer equipment, a warehouse with storage and shipping equipment).

Eligibility conditions

The company must employ at least one full-time employee working in premises located in the ZRD (no business travel outside the ZRD) and make at least 25% of its turnover excluding VAT with customers located in the ZRD.

What the scheme covers

Exemption from contributions for health-maternity insurance, disability-death insurance, old-age insurance and family allowances.

Amount and funding terms

An exemption from employer contributions for 3 years, up to 1.4 times the minimum wage (SMIC). Above 1.4 SMIC, the exemption tapers and falls to zero for pay of 2.4 SMIC or more. The exemption is then reduced by one third in the 4th year and by two thirds in the 5th year.

How to apply

Consult the scheme’s official source and check the current application arrangements before applying.

Timeline

No end date is recorded in the catalogue. Check the current status, application period and any deadlines on the official page before applying.

Key facts

Funder
Ministère de l’Economie, des Finances et de la Souveraineté Industrielle, Energétique et Numérique
Type of funding
Tax exemption
Status
Ongoing
Geographic scope
All of France

Frequently asked questions

What is this aid for?

Defence restructuring zones (ZRD) were set up to address the economic consequences of the reorganisation of the military map, through tax and social exemptions.

Who can benefit?

Companies that create an establishment in a defence restructuring zone (ZRD) during a 3-year period starting either on 1 September 2009 or on 1 January of the year before the one in which the area or municipality is recognised as a ZRD. The new activity must be industrial, craft or commercial; or liberal if carried out by a company subject to corporation tax; or the rental of equipped business premises (for example a factory with its manufacturing machinery, a restaurant with kitchen and customer equipment, a warehouse with storage and shipping equipment).

How much can be obtained?

An exemption from employer contributions for 3 years, up to 1.4 times the minimum wage (SMIC). Above 1.4 SMIC, the exemption tapers and falls to zero for pay of 2.4 SMIC or more. The exemption is then reduced by one third in the 4th year and by two thirds in the 5th year.

Which costs are covered?

Exemption from contributions for health-maternity insurance, disability-death insurance, old-age insurance and family allowances.

How do I apply?

Consult the scheme’s official source and check the current application arrangements before applying.

Official source

No official URL is available in our data for this grant.

Other grants of type “tax exemption”

Other grants from Ministère de l’Economie, des Finances et de la Souveraineté Industrielle, Energétique et Numérique

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