Budget 2023: the surprise vote of the deputies to repeal the Macron reform of the “exit tax”

Posted Oct 13, 2022 3:03 PMUpdated on Oct 13, 2022 at 4:18 PM

This is a new blow for the government. As part of the examination of the Finance Bill for 2023, the deputies voted for the restoration of the “exit tax” in its version before the 2019 reform. Created in 2011, this tax on the most -latent values ​​paid by residents leaving France, had been arranged in the name of attractiveness, Emmanuel Macron judging that it was sending “a negative message to entrepreneurs”.

The amendment carried by Les Républicains was adopted with 155 votes against 133. The elected LRs who support it recalled that the Finance Law for 2019 had reduced the period for holding shares after departure (to be exempted), making it go from fifteen years to two years. Thus, a taxpayer transferring his tax residence outside France had to keep his shares for two years (and no longer fifteen) to escape the “exit tax”. “This measure is in reality only a pretense, because reducing this period to two years simply amounts to abolishing the tax”, they asserted. Which was in fact the intention of the majority.

Tax introduced by Sarkozy

The LR deputies also recalled that it was Nicolas Sarkozy who had introduced it, in order to fight “against this form of tax evasion”, which consists of people transferring their domicile outside France simply to avoid taxation on the capital gain resulting from the sale of their shares.

The text of the amendment has somewhat unexpected accents for right-wing elected officials. “According to the 2018 report of the Laboratory on Global Inequalities at the end of the reforms mainly of the solidarity tax on wealth (ISF) and the tax on movable income, the richest 0.01% have seen their contributions increase from 52% in 2016 to 46.6% in 2018”, one can read. “France now has 42 billionaires, four times more than in 2008. During the health crisis, they earned more than 175 billion euros, hence the importance of this tax”, also expose the LR deputies.


After the snub on Wednesday evening – the adoption of a Modem amendment to raise the rate of the levy on above-average dividends from 30% to 35% – it is a new setback for the executive at the Palace -Bourbon.

The vote was greeted with applause. “Great victory in the fight against tax evasion, great defeat for the government and the Renaissance deputies, once again isolated,” welcomed the environmental group on social networks.

However, this amendment should not be kept in the finance bill, when the government will have recourse to article 49.3 of the Constitution to have the text adopted.

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