Some of France's richest taxed more than 100%
More than 8,000 households got hit with the one-time levy as Socialist President Francois Hollande continues to target the nation's wealthiest.
That's what happened in France, where Reuters says more than 8,000 French households' tax bills topped 100% of their income last year. Business newspaper Les Echos, citing Finance Ministry data, reported Saturday that the huge tax hit stemmed from a one-off levy last year on 2011 incomes for households with assets of more than 1.3 million euros ($1.67 million).
President Francois Hollande's Socialist government imposed the tax surcharge last year to offset the cost of a rebate set up by predecessor Nicolas Sarkozy that capped an individual's overall tax rate at 50% of income.
Hollande's government has been trying to impose a temporary 75% tax on earnings over 1 million euros, but France's Constitutional Council ruled that the rate was unfair and threw it out. An administrative court has since declared that a marginal tax rate higher than 66.66% imposed on a single household borders on confiscatory. The government is now trying to revamp its proposal to hit companies instead of individuals.
Even that has been a problem, as soccer clubs including Paris Saint-Germain, the richest in France, are considered companies under the revised law. Prime Minister Jean-Marc Ayrault's office issued a statement in April confirming that the surcharge will apply to soccer clubs, including PSG. Considering that a dozen members of the PSG roster make 1 million euros or more, France's soccer authorities are, at best, unhappy.
"With these crazy labor costs, France will lose its best players, our clubs will see their competitiveness in Europe decline, and the government will lose its best taxpayers," France's Football League said.
The effects are already being felt. PSG coach Carlos Ancelotti has asked to leave the club for Spanish La Liga powerhouse Real Madrid, according to The Guardian, while PSG superstar David Beckham opted to retire.
Still, the redrafted law had no effect on the onerous one-time levy. Les Echos reported that nearly 12,000 households paid taxes last year worth more than 75% of their 2011 incomes. There's no word on whether that included actor Gerard Depardieu, who retreated to Belgium to avoid the tax.
Flat tax for everyone including businesses and corporations regardless of how much you make. Our tax code needs to be simplified and the IRS needs to be shrank considerably along with much of our federal government.
The very first sentence of this article indicates the preposterous position of the author and other like-minded naive morons; "it could've been a lot worse"....... to create a pretense in the reader's mind.....in-other-words; that here in the US we should be grateful for a government stealing merely 40% of our earnings instead of more!!???! Have you ever heard of private property rights, the right to the fruits of our labors? Our INCOME tax rate is only a portion of the variety of taxes we pay in state, local, sales, gas, real estate, school, death......permits, registrations, licenses.....the list is as long as a roll of toilet paper.
Each day I'm more convinced that the socialist-leaning, statist-minded, liberal left will never understand that a bloated government is as addicted to taxes no less than a junkie to drugs. The problem is that in DC and in our states there are too many "junkies" in office.
In addition, the French government will also lose the hidden VAT taxes on all of their purchases.
Has anyone heard of the 'Laffer Curve'? Basically, it says that when the government taxes at 100%, the economy drops to 0% and nobody has a job. Who wants to work when you get paid nothing.
The few paying for the many.
Freedom for all unless of course you're successful and make too much money. In which case screw you and give us all your money. Compliments of your local government socialist leaders/officials.
Watch out USA! If BO gets his way we are right behind France.
Bastardly socialists. If you take the money from rich and they go poor, who will pay for your liberal, out of control government subsidies and freebies.
Socialists are short sighted idiots appeasing the "gimmie" generation at the expense of hard working capitalists.
“When plunder becomes a way of life for a group of men living together in society, they create for themselves, in the course of time, a legal system that authorizes it and a moral code that glorifies it.” – Frédéric Bastiat,"The Law"1850
we will eventually get back to the 70%+/- rates we had in place in the late 60's & early 70's. the thing about it is that with inflated incomes 50 years later, those same rate schedules will put the average working couple in the highest bracket.
those rate schedules included maybe up to ten brackets of increased rates of tax, so very few people paid the highest bracket. sometimes i wish i had saved those old rate tables just to compare to today's rates. it would probably shock me!
this country can not continue to spend twice as much or more than it takes, with the majority of what the government borrows just goes to pay interest on old debt.
some folks used to say that we owe it to ourselves. that's true to a certain extent.....it's our social security money, retirement plans, etc that the government owes us . but the bulk of it we owe to china.
The progressives in this country would love nothing more to take what is not theirs. Problem is, those who do the taking are the same wealthy people that all of the do nothing's worship like idols.
The only ones out there that think this is a good idea are those who have everything to gain from the system because they have made a career out of getting everything and doing nothing.
There will be a revolt against this government someday, the actual hardworking Americans (there are fewer every day) will not put up with this. It is the goal of this government and this President to constantly put more Americans into the category of people who depend on the government for all or part of their existence. This is the way that Socialists keep power, dependency on the government. Divide and conquer, it has happened all through history and you people are sitting back and letting it happen to the one-time greatest nation on earth.
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[BRIEFING.COM] The stock market finished an upbeat week on a mixed note. The S&P 500 shed less than a point, ending the week higher by 1.3%, while the Dow Jones Industrial Average (+0.1%) cemented a 1.7% advance for the week. High-beta names underperformed, which weighed on the Nasdaq Composite (-0.3%) and the Russell 2000 (-1.3%).
Equity indices displayed strength in the early going with the S&P 500 tagging the 2,019 level during the opening 30 minutes of the action. However, ... More
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