France's richest man and LVMH Chairman Bernard Arnault has been ordered by French authorities to pay €22.5 million (about RMB 174 million) in back taxes following a years-long legal battle, according to reports compiled by China News Service citing foreign media.
A recent ruling by the Paris Administrative Court of Appeal requires Arnault and his wife to make an additional payment of €12.96 million relating to the 2010 tax year. The amount includes taxes, social security contributions, surcharges and late-payment interest.
The couple must also pay a further €9.5 million in France's wealth tax for the period from 2012 to 2015.
Responding to media inquiries on July 4, Arnault said he and his wife would appeal the ruling to France's highest administrative court.
According to the Bloomberg Billionaires Index, Arnault has a net worth of about US$165 billion, making him the richest person in France and Europe and the world's eighth-richest individual.
A spokesperson for Arnault said LVMH is France's largest corporate taxpayer. The group's overall business activities account for more than 1% of France's gross domestic product.
During an earnings conference call, LVMH's chief financial officer said the company paid approximately €5.5 billion in income taxes last year, an increase of more than €300 million from 2024.
LVMH was established in 1987 when Bernard Arnault merged Louis Vuitton with Moet Hennessy. Headquartered in Paris, the French luxury goods group owns brands including Louis Vuitton, Dior and Tiffany & Co.
According to LVMH's full-year 2025 financial results, the group posted revenue of €80.81 billion, down about 4.6% year on year. Recurring operating profit fell 9% to €17.755 billion, while net profit declined 13% to €10.878 billion.
LVMH's flagship brand Louis Vuitton has recently attracted attention over its legal disputes involving Chinese milk tea chain Molly Tea and China's National Intellectual Property Administration.
Related News:
LV's case against China's IP authority heard by Beijing court
Comment