Overview
- Deputies conclude eight days on the revenue section Monday with no vote on Tuesday, as attention shifts to the social security budget debated this week before fiscal talks resume around November 12 ahead of a November 23 transmission deadline.
- The Assembly rejected the ‘taxe Zucman’ but approved a broadened wealth levy transforming the IFI into an ‘impôt sur la fortune improductive,’ alongside votes to tax share buybacks at 33%, double the GAFA tax to 6%, raise the surtax on big-company profits, and adopt other measures affecting high incomes and firms.
- Economy Minister Roland Lescure criticized several adopted provisions as ‘fiscal witchcraft’ and inoperable, while Public Accounts Minister Amélie de Montchalin warned the package would lift the tax burden to about 45.1% of GDP if taken at face value.
- Budget rapporteur Philippe Juvin said it is highly probable the Assembly will not finish examining the bill, making a Senate review likely before a possible joint committee and, failing agreement, recourse to a special law or ordinances.
- Prime Minister Sébastien Lecornu is pursuing a ‘small steps’ negotiation strategy to avoid censure, as Socialist leader Olivier Faure said a narrow path to a deal still exists even though support remains uncertain.