Lucie Castets expresses reluctance toward the annulment of tax breaks for senior citizens, while advocating for the preservation of minor retirement incomes.
Lucie Castets, ex-National Assembly dissolution Matignon candidate, recently chimed in on the tax debacle, expressing her endorsement for axing the tax credit enjoyed by wealthier retirees.
© BASTIEN OHIER / Hans Lucas By Thibaud Hue Published on , updated on
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With the French government on a quest for 40 billion euros in savings to build the 2026 budget, they're eyeing the elimination of retirees' tax breaks. In a Franceinfo interview on May 2, Lucie Castets spilled her thoughts on the matter, stating, "I ain't got no beef with that move affecting 10% of retirees." Yet, she clarified her intention to "protect the poorest pensioners."
Lucie Castets aims to slash the tax privileges of retirees earning a minimum of 2,000-3,000 euros per month in retirement benefits. Those on lower pensions would, fortunately, remain untouched by this budget cut. "We need a ballsy tax overhaul that lets us reduce taxes for a select few and jack 'em up for others," she declared.
Juicy jobs for retirees by 2030 ## Several hundred extra euros in taxes
The ceiling for this tax credit currently stands at 4,399 euros per household. For those earning annually above 43,990 euros (per tax share), the credit drops to below 10%. A lone retiree netting 20,000 euros per year would see their taxable income surge by 18,000-20,000 euros, according to projections by the French Observatory of Economic Conjuncture (OFCE). With a massive 12 million households potentially impacted, the average annual increase in taxes could range from a measly 10 euros to a whopping 860 euros, based on the households' incomes.
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Around this article retirement | Income tax | Retirement pension
- The French government's proposed tax reform is aiming to eliminate the tax breaks for wealthier retirees, which Lucie Castets, a former political candidate, has endorsed, with a potential increase in taxes for certain retirees earning a minimum of 2,000-3,000 euros per month.
- As part of France's pursuit of 40 billion euros in savings, the government is looking at reducing tax incentives for some retirees, a policy that Lucie Castets supports as an attempt to protect the poorest pensioners and implement a bolder tax overhaul.
- With the proposed tax changes, retirees earning above a certain income may see a significant increase in their taxable income, according to projections by the French Observatory of Economic Conjuncture (OFCE). However, exact tax increases would depend on individual circumstances, with the average annual increase ranging from a low of 10 euros to a high of 860 euros for the estimated 12 million households impacted by the policy.
