While all the attention was focused on the regional elections this Sunday, last Friday the deputies finished voting on the second version of the 2016 Budget Law.
Several changes were made to the initial text; and while some are rather favorable to taxpayers, others, on the contrary, will increase the revenue for Bercy.
Beyond the highly “requested” reduction of the “tampon tax” on feminine hygiene products, with VAT being reduced to 5.5% from the 20% applied until now (55 million euros less in taxes per year), another decision should positively impact employment and companies this time: the introduction of a sliding-scale CSG for salaries up to 1.3 times the minimum wage.
It is expected to come into effect in 2017. Championed by Jean-Marc Ayrault, the bill was voted and adopted but will have to be validated by the Constitutional Council.
If on one hand the government lowers certain taxes, on the other hand it increases them.
The first key measure: the obligation for sites in the collaborative economy sector, like Airbnb, to provide an annual income statement to their users.
They will then have to report this income on their tax return and therefore pay taxes. Income from the sharing economy, however, such as carpooling, is not affected.
The National Assembly, in the final version of the 2016 Budget Law, also reinstated the financial transaction tax. It will also be applied to “intraday” operations.
Finally, the government eliminated the super-depreciation that encouraged industrial investments. This represents a shortfall for Bercy of nearly 380 million euros in taxes that the government wanted to recover in its fiscal revenues.
