This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. Find out more here.  
  • Delicious




Chirac Calls One Year Halt To Income Tax Cuts

by Ulrika Lomas, Tax-News.com, Brussels

16 July 2004

French President Jacques Chirac has announced that there will be a one year hiatus in his tax cutting drive whilst the government attempts to tackle the budget deficit.

Speaking in a recent television interview, Chirac revealed that there is to be “a pause of one year in the cutting of income taxes”.

Prior to achieving re-election in 2002, Chirac pledged to cut income tax by 30% over a five year period. However, so far, a cut of just 6.5% has been achieved, with a further 3% in cuts due to take place this year.

Chirac’s comments echoed sentiments expressed by his Finance Minister, Nicolas Sarkozy, who recently told the Senate: "In a period of economic slowdown, we automatically think of stimulating (the economy) by spending or by cutting taxes. These instruments, which have been tried and tested before - we should not use them."

However, the Finance Minister reportedly went on to add that taxes will be cut "as soon as the budgetary situation allows it".

.

 

 






Write a comment