[France] 2027 budget tax measures

In France, Prime Minister Sébastien Lecornu's government has delivered its 2027 budget. It contained a package of measures intended to bring deficit-reduction plans on track with targeted savings and tax increases, Yahoo reports.

The Bill has been sent to lawmakers, who are likely to substantially amend the legislation in parliament in the coming weeks.

The main tax measures in the Budget reportedly included a reduction in a tax break employers receive on low and mid-level ⁠salaries if their employees receive bonuses such as profit-sharing or incentive schemes. This would raise around €3.8 billion ($4.29 ⁠billion) in 2027.

They also included a freeze on tax relief on low-wage payroll contributions, raising €2.9 billion, and a €3,000 cap on a tax break for retirees' professional expenses, raising €1.4 billion.

Pensions over €1,260 a month will not be increased in line with inflation, saving €4.1 billion. A reduction in a tax break which retirees receive for professional expenses, bringing in another €1.4 billion.

In addition, reforms have been made to allowances given to workers when they are on sick leave, aimed at saving €1 billion, and the ceiling on sick pay for work accidents was lowered to generate €800 million in savings.

Source: Yahoo

In France, Prime Minister Sébastien Lecornu's government has delivered its 2027 budget. It contained a package of measures intended to bring deficit-reduction plans on track with targeted savings and tax increases, Yahoo reports.

The Bill has been sent to lawmakers, who are likely to substantially amend the legislation in parliament in the coming weeks.

The main tax measures in the Budget reportedly included a reduction in a tax break employers receive on low and mid-level ⁠salaries if their employees receive bonuses such as profit-sharing or incentive schemes. This would raise around €3.8 billion ($4.29 ⁠billion) in 2027.

They also included a freeze on tax relief on low-wage payroll contributions, raising €2.9 billion, and a €3,000 cap on a tax break for retirees' professional expenses, raising €1.4 billion.

Pensions over €1,260 a month will not be increased in line with inflation, saving €4.1 billion. A reduction in a tax break which retirees receive for professional expenses, bringing in another €1.4 billion.

In addition, reforms have been made to allowances given to workers when they are on sick leave, aimed at saving €1 billion, and the ceiling on sick pay for work accidents was lowered to generate €800 million in savings.

Source: Yahoo