75% taxes on the Rich: France strikes down proposal
The tax rate had angered business leaders and prompted some wealthy French citizens to seek tax exile abroad.
PARIS:
France’s top constitutional body on Saturday struck down a 75% upper income tax rate.
The government vowed to push ahead with the tax rate, which would apply to incomes over a million euros ($1.3 million) a year, and propose a new measure that would conform to the constitution.
The tax rate had angered business leaders and prompted some wealthy French citizens to seek tax exile abroad, including actor Gerard Depardieu, who recently took up residency in Belgium.
The Constitutional Council said in its ruling that the temporary two-year tax rate, due to start next year, was unconstitutional because, unlike other forms of income tax, it applied to individuals instead of whole households.
Published in The Express Tribune, December 30th, 2012.
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France’s top constitutional body on Saturday struck down a 75% upper income tax rate.
The government vowed to push ahead with the tax rate, which would apply to incomes over a million euros ($1.3 million) a year, and propose a new measure that would conform to the constitution.
The tax rate had angered business leaders and prompted some wealthy French citizens to seek tax exile abroad, including actor Gerard Depardieu, who recently took up residency in Belgium.
The Constitutional Council said in its ruling that the temporary two-year tax rate, due to start next year, was unconstitutional because, unlike other forms of income tax, it applied to individuals instead of whole households.
Published in The Express Tribune, December 30th, 2012.
Like Business on Facebook to stay informed and join in the conversation.