The government will announce Friday the contours of the tax measure announced in the 2017 budget, with “a measure for households” and “measures for businesses”, said Thursday his spokesman, Stephane Le Foll.
“Very good question, which will find its answer tomorrow. the arbitrations are in progress” and will be made at the Elysee Palace before an announcement probably by the Economy Minister Michel Sapin in the day, said, Mr Le Foll when the report of the Council of Ministers.
“There will be a measure for households. There will also be measures for enterprises,” said one who is also Minister of Agriculture, without elaborating.
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 one billion euros.
François Hollande had spoken for the first time this tax cut on May 17 by conditioning the existence of “fiscal room for maneuver.” This will “have a perspective of growth of 1.7%” in 2017, he had specified, then evoking a maximum budget of two billion euros.
But INSEE announced late July 1 unexpected halt in growth in the second quarter (+ 0.0%), after a strong start to the year (+ 0.7% in the first quarter). And the outlook for 2017 has worsened, with the proliferation of terrorist attacks and uncertainties Brexit.
Friday, Michel Sapin said the tax cut would be less than 2 billion.
© 2016 AFP
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