Tax Cuts on Horizon in France

September 1, 2015 Taxation in France

PARIS – France may cut taxes for individuals, funding the cuts by reducing government spending.

During a radio interview which aired on August 31st the Finance Minister Michel Sapin suggested that over the next year the national government could implement tax cuts worth approximately EUR 2 billion in an effort to provide financial assistance to low-income earners.

The exact details of the nature and extent of the tax cuts and which taxpayers they will apply to were not disclosed, however, the Minister said that the official announcement to announce the cuts will be made next week.

However, despite the lack of concrete details, the Minister did suggest that the total value of the cuts may reach approximately EUR 2 billion.

He added that the money for the cuts would like come from cuts to spending made by the central government and local authorities, and went on to say that if the taxes are cut, it is not likely that other taxes will be raised to compensate for the losses.

Photo By: Håkan Dahlström