France plans to scrap 1 billion euros of tax breaks for companies

Tuesday, 18 June 2019 00:00 - - {{hitsCtrl.values.hits}}

PARIS (Reuters): France plans to scrap 1 billion euros ($ 1.1 billion) of tax breaks for companies to help fund a pledged 5-billion-euro reduction in personal income taxes, Budget Minister Gerald Darmanin said on Sunday.

French Minister of Public Action and Accounts Gerald Darmanin attends a news conference on tax collection reform at Bercy Finance Ministry in Paris, France – Reuters

The government will finance the remaining 4 billion euros through lower spending, Darmanin said during an interview for the Grand Jury show with reporters from LCI television, RTL radio and Le Figaro newspaper.

Darmanin said 95% of taxpayers would see a reduction in their income taxes from January.

In his response to months of anti-government protests, French President Emmanuel Macron said in late April he would cut income tax by a further 5 billion euros. The planned reduction came on top of a 10 billion-euro package of concessions to protesters in December aimed at boosting the income of the poorest workers and pensioners.