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Dramatic illustration of France's high-income tax revenue shortfall, showing meager 400M euros vs. expected billions, with evading wealthy figures.
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Budget: fiasco of the high-income tax

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The differential contribution on high incomes, created in 2025, brought in only 400 million euros, nearly five times less than expected, according to the Ministry of Economy and Finance. This tax, aimed at ensuring a minimum 20% taxation for the wealthiest, was largely circumvented by targeted taxpayers. It highlights the challenges in effectively taxing very high incomes in France.

The French state recorded a deficit of 125 billion euros in 2025, a 31.6 billion drop from 2024, thanks to robust tax revenues, Bercy announced on February 3. This improvement, the strongest since 2020, still hides ongoing debt pressures. Public spending remained steady, while revenues exceeded forecasts.

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Initiated by centrist deputy Charles de Courson, the French National Assembly has approved a commission of inquiry into taxes paid by the wealthiest taxpayers. The parliamentary group will examine the contribution of high patrimonies and incomes to public services funding. The move follows the removal of the Zucman tax from the 2026 budget.

Queues for tax compliance have become a regular sight at Berhan ena Selam Printing Enterprise on Adwa Street in Addis Ababa. This development highlights bottlenecks emerging from recent tax reforms. Businesses are facing challenges in adapting to the new system.

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The French government introduces a new fiscal device, dubbed 'Jeanbrun' or 'private landlord status', to encourage investments in new and old rental housing. Announced as part of the 2026 finance bill, it replaces the Pinel scheme and aims to cut taxes through annual amortization. Meanwhile, Prime Minister Sébastien Lecornu sets the ambitious goal of building 2 million homes by 2030.

The Egyptian Tax Authority has launched a new mobile app allowing electronic payment of real estate transaction taxes and quick issuance of tax clearance certificates. Rasha Abdel Aal, the authority's chairperson, announced this at a meeting hosted by the Swiss Chamber of Commerce in Egypt. The move aims to expand digital services and build trust with investors.

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标普全球评级表达担忧,高市早苗首相提议降低食品消费税可能减少日本收入并长期削弱其财政状况。这些言论正值超长期债券收益率历史性上升之际,此前高市宣布若在大选获胜,将降低食品消费税两年。新加坡主权评级主管Rain Yin警告,此类减税并非一次性影响,若经济增长和收入在支出结构性增加中放缓,将进一步恶化财政状况。

 

 

 

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