DIVISION II
SCOPE OF APPLICATION

Section 3.– Subject to the provisions of Section 4 below and the special tax schemes, the following shall be liable to company tax:
(1) joint stock companies and limited liability companies, co-operative societies, public establishments or bodies:
• irrespective of their object, public limited liability companies, joint stock companies, co-operative societies and their unions;
• public establishments, State bodies with financial autonomy and any other corporate bodies carrying out one or more gainful activities.
(2) Civil companies
(a) even if they do not fall under the type of companies referred to in paragraph 1, civil companies carrying out commercial, industrial, non-industrial or agricultural activities, in particular:
• when they are involved in intermediary transactions for the purchase or sale of property or businesses, shares or holdings of real estate companies, or when they buy generally on their own behalf assets intended for resale;
• when they parcel and sell lands acquired in return for payment following development and provision of services;
• when they give out for rental a commercial or industrial establishment possessing the furniture and equipment necessary for its operation, whether the rental comprises or not all or part of the intangible elements of the goodwill;
• when they let or sublet entire or part of furnished buildings which they own or manage.
(b) civil companies whose members include one or more companies with share capital or which opted for this form of taxation;
(c) civil companies which have opted for company tax under the conditions fixed for partnerships.
(3) Partnerships which have opted for company tax:
• partnership firms;
• limited liability partnerships;
• joint-ventures;
• financial syndicates.
The option is irrevocable and may not be applied by unincorporated companies or by partnerships originating from the previous transformation of partnerships. For the option to be valid, it shall be signed by all the partners and notified to the tax inspector of the area within three months of the beginning of the financial year. Failing an option, the company tax shall be levied on the share of profits corresponding to the rights of:
•partners in limited liability partnerships;
• partners not indefinitely liable or whose names and addresses have not been communicated to the Administration in partnership firms, joint-ventures and financial syndicates.
(4) Public establishments and regional and local authorities: Public establishments other than scientific, educational and aid bodies, as well as associations and regional and local authorities not subject to company tax by virtue of another provision, due to the rental of their built-on and non-built-on estates, revenue from floating capital not liable to tax on revenue from the transferable securities they possess as well as any other gainful activity. These provisions shall apply to the companies, associations and bodies referred to in accordance with the rules and procedures governing commercial law.
(5) Microfinance institutions irrespective of their legal form and their nature.