Business tax: first successful test in the Senate
A first step was taken in the Senate on the reform of business tax (TP). By 178 votes against 159 senators have endorsed the Saturday meeting place in 2010, this tax criticized for years by the economic contribution territorial (CET). For businesses, the CET will be two pillars, one part based on the value of buildings (known by the Senate premium land) and another based on the value added (known contribution of value added).
While the UMP group voted in favor of the project. Of the 23 senators slingers who followed Jean-Pierre Raffarin, a single, Philippe Dallier, this was Saturday, and it approved the text. Does this mean that the government bailed out? Not really. Saturday's voting is not worth carte blanche, because only the part concerning the tax relief was discussed.The second block of the reform, one that poses problems and concerns the distribution in 2011 of the new CET and local taxes between municipalities, counties and regions, will move into meeting in a fortnight. "We are mid-term," said Jean Arthuis, the centrist chairman of the Committee on Finance of the Senate.
This weekend, the Senators have at least given their key. Against the Government's view, they decided to charge companies with more than 500 000 sales a minimum contribution of 250 euros. With the original scale and allowances game, only companies with more than one million sales have actually paid the premium on the value added."The performance of the minimum contribution would be 60 million and affect 235 000 SMEs, pleaded in vain for the Economy Minister, Christine Lagarde.
Points to address thorny
The senators also raised from 3% to 3.5% of the maximum value of the ETC for businesses. But the government will vote again this amendment. Furthermore, professionals have been partly heard by the Senate. Liberals who employ fewer than five employees and are on a diet of non-profit business have a special base of taxation, accounting and property equal to 6% of revenues. The Senate reduced this rate to 5.5%.Finally, the High Council has granted compensation to local communities better for the transition year which is 2010.
The Finance Committee of the Senate, including its general rapporteur UMP, Philippe Marini, will now work hard on the second phase of reform: the redistribution of local taxes in 2011.If technical solutions are emerging, especially for municipalities with many SMEs, it remains a sore point: the possible award of a larger share of the pie of value added to block municipal … We'll see also if the meeting " revoyure clause "(review of the distribution of taxes before July 31, 2010 and if the skills of local change) is enough to calm the spirits.
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