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A Look at the Change in VAT Rates and Corporate Tax in France
by martinwell on Dec 6, 2011
As part of a range of austerity cuts following the latest Euro currency rescue agreement, the government of France announced plans to impose a ‘temporary’ corporate tax surcharge of 5 percent for 2012 and 2013 for large companies. The French government also plans to increase the 'reduced' value-added tax (VAT) rate of 5.5 percent to 7 percent, with certain limited exceptions. The move is part of France’s second austerity package designed to increase corporate tax revenue and reduce government expenditure and debts. It is said that the extra cuts make the 2012 budget one of the toughest since 1945.
What are the New Corporate Tax Proposals?
The corporate tax proposal mainly focuses on two measures that would affect business taxpayers. A temporary 5percent surcharge on corporate income tax would be implemented in 2012 and 2013 for companies having an annual turnover of €250 million or more. The “reduced VAT rate” which is currently at 5.5...Read More >>
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A Look at the Change in VAT Rates and Corporate Tax in France
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