French Government Considers New Tax on Wealthiest Citizens

The proposed measure aims to address fiscal inequalities and secure support for the 2025 budget amid political negotiations.

The Bayrou government is exploring a new tax on the wealthiest citizens' assets, targeting holdings often structured to minimize tax obligations.
The measure, inspired by economist Gabriel Zucman's proposals, could impose a 0.5% annual tax on ultra-high net worth individuals, potentially generating €2 billion in revenue.
Left-wing parties, including the Greens and Socialists, demand a more ambitious 2% tax on ultra-rich estates, which could yield up to €25 billion annually.
The tax proposal is part of broader budget negotiations, with the government seeking to bridge a €50 billion fiscal gap primarily through spending cuts but leaving room for targeted tax increases.
Right-wing parties strongly oppose any tax hikes, advocating instead for reduced public expenditures, highlighting ongoing political tensions over the budget.