2023-07-09 13:13:00
The « pace » future tax cuts in France will depend on the level of growth expected for the country, which will be revised in September for the years 2023 and 2024, said Sunday the Minister of Economy and Finance, Bruno Le Maire.
Tax increases will be necessary to finance the ecological transition (France Strategy)
« We want to continue in this direction of lowering taxes on households and businesses “, indicated Bruno Le Maire on LCI, reiterating on the sidelines of the Economic Meetings of Aix-en-Provence the strategy of tax relief followed for years by the government. ” Then there is a reality. We are perfectly aware that there is a slowdown in growth all over the world, especially in Europe “, he added.
New reduction proposals at the end of September
« End of Septemberon the occasion of the presentation of the draft budget for 2024, I will give the new growth prospects for 2023 and 2024 “, he continued. ” We will see if this slowdown also translates into a slowdown in growth in France. From there, I will make proposals to the President of the Republic on the rate of tax reduction ».
The government is currently counting on a 1% increase in France’s gross domestic product (GDP) in 2023, a forecast higher than that of INSEE (0.6%) and the Banque de France (0.7%). . It then anticipates growth of 1.6% in 2024. Questioned by AFP, the Ministry of Economy and Finance did not wish to indicate whether growth would be revised downwards.
After having already been halved at the end of Emmanuel Macron’s first five-year term, a production tax (CVAE) is intended to disappear completely by 2024, which represents a loss of tax revenue of eight billion euros, distributed between 2023 and 2024.
“Switching from brown taxation to green taxation”
Regarding households, following the abolition of the housing tax and a reduction in income tax, the government has promised additional tax cuts for the middle classes, up to 2 billion euros by 2027.
Regarding the draft budget for 2024, which should provide billions of euros in savings to redress the bloodless public finances, Bruno Le Maire confirmed that he wanted to ” switch from brown taxation to green taxation ” for “accelerating the pace of decarbonizing our economy” « We will increase, from the 2024 budget, taxation on all fossil fuels », and a tax on plane tickets « is one of the options ». « Anything that increases the tax burden on fossil fuels, anything that pollutes, makes sense “, he insisted.
7 billion additional euros for the transition
Prime Minister Elisabeth Borne indicated on Saturday that the State would mobilize an additional 7 billion euros in 2024 to double the rate of reduction of greenhouse gas emissions in France and meet the climate objectives for 2030. This investment will irrigate the energy renovations, the development of public transport, renewable energies as well as the agricultural transition, specified the Head of State.
His entourage specified that the additional 7 billion euros will not be synonymous with ” 7 billion in additional taxes, quite the contrary “, emphasizing that this figure corresponds to the order of magnitude of the reductions in expenditure expected from the ministries.
Towards more international taxes to fight once morest climate change?
During the summit for a new global financial pact, organized at the end of June by Emmanuel Macron, Paris pleaded for the establishment of a maritime tax. There is, in fact, a consensus on the idea of putting a carbon price on maritime flows, whereas today ” it is a sector that does not contribute to public finances, nor to climate change in a significant way “Said Laurence Tubiana, architect of the Paris Climate Agreement, while recalling that shipping companies work in international waters and that many of them are housed in tax havens.
(With AFP)
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