French Prime Minister Jean-Pierre Rafarrin last week launched a review aimed at a restructuring of business taxes paid to local authorities which are viewed by many as a significant obstacle to investment.
Specifically, the review is expected to hone in on the taxe professionnelle, a tax levied on a the number of workers a firm employs in addition to the value of the company’s investments. It is considered a deeply unpopular levy amongst French employers and is thought to be a significant hindrance to business investment.
President Jaques Chirac signaled earlier in the year that he wants to see the investment aspect of the levy removed, which ultimately proved to be the catalyst behind the setting up of the current review.
However, given that the tax makes up some 45% of local authority revenues, the central government will to have to find at least a portion of the EUR23 billion generated by the levy in compensation, unlikely to be an easy task given tight budgetary constraints.
.
Network Tweets
Network BlogsContent
provided by
|
Archive | Resources | Partners | Site Map | Links | Newsletter Archive | Contact | RSS Feeds | About | Syndication | Advertising & Marketing | Recruitment | Terms & Conditions | Privacy & Cookies
Copyright © 2012 - All Rights Reserved - Tax-News.com
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment