Tuesday, September 6, 2016

Budget 2017: the tax cut for households detailed Thursday – The Point

The arbitrations on the tax cuts promised to households will be made Thursday to return to France President Francois Hollande, currently in Asia, said Tuesday Manuel Valls, ensuring want to “make the purchasing power to the French.” It “must continue this tax cut,” said the Prime Minister on the air RTL radio, recognizing that the taxes had “too increased between 2010 and 2014, when the right and left were in power.”

According to Les Echos , the government may favor a flat reduction in income tax for the middle class, a gesture whose amount would be about a billion. Questioned on this point, the head of government said that the economic daily was “always very well informed ‘, while refusing to confirm the amount. “Arbitrations are not yet rendered” Has he said.



A rebate included in the tax code?

The government had already privileged lump decline in tax on income from a previous decrease in household taxation in 2014. at the time, the measure had benefited 4 million households at a cost of 1.3 billion euros in total. According to Les Echos , the dividend – which could be up to 350 euros for a single and 700 euros for a couple if incomes below 1.1 minimum wage per person – could this time become sustainable and be entered in the tax code.

Until recently, the size of the tax reduction mentioned was around 2 billion euros, provided that growth is this year than 1.5% of gross domestic product (GDP). But last week, the Minister of Economy and Finance, Michel Sapin, had warned that it was necessary to stop talking about 2 billion euros because the margin available to the government was “not the same”.

The growth suffered a setback in the second quarter (0.0%) after a strong start to the year (+ 0.7% in the first quarter). The attack in Nice and Brexit increased uncertainty. “We must contain the sum, since the figure is likely to be 1.5 (%), not 1.7% as one would think so,” admitted Manuel Valls on RTL.

LikeTweet

No comments:

Post a Comment