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Montchalin Again Backs 'Holding Tax' as Budget Talks Pause in Dispute Over Rich Tax Bills

Fiscal secrecy has left claims about wealthy taxpayers' income tax bills unverified.

Overview

  • Public Accounts Minister Amélie de Montchalin defended the proposed levy on income retained in holding companies and said the practice it targets is legal but abusive.
  • Former economy minister Éric Lombard maintains that thousands of the richest have a zero revenu fiscal de référence and pay no income tax, a characterization Montchalin disputes.
  • Montchalin said Bercy has no list naming such taxpayers, countering Lombard’s assertion that the tax administration holds detailed counts, while acknowledging the phenomenon exists.
  • The measure, initially billed to raise about €1 billion, was cut to roughly €100 million in the Senate and has since disappeared from the National Assembly’s working scenario.
  • Budget debates have been suspended until Tuesday, so the holding-company tax cannot be enacted without a voted 2026 budget, and Finance Committee chair Éric Coquerel has requested ministry documents on the issue.