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French Finance Committee Rejects Zucman Tax and Rewrites 2026 Revenue Plan

The package now heads to a Friday plenary debate under strict constitutional deadlines.

Overview

  • Members of the government camp and the National Rally combined to block the proposed 2% minimum levy on patrimonies of at least €100 million known as the Zucman tax.
  • Deputies limited the planned income‑tax freeze by indexing only the first bracket by 1%, easing the impact on lower earners.
  • The 20% minimum taxation for very high incomes (CDHR) was extended until the public‑deficit ratio falls below 3% of GDP.
  • Lawmakers voted to reinstate an exit tax and, in a confused committee vote, replaced the proposed levy on patrimonial holdings with taxation at death, a change expected to be revisited in the chamber.
  • The commission rejected replacing retirees’ 10% income‑tax abatement with a €2,000 flat allowance.