New Law Shakes Up Taxes: 400,000 Households Affected, Pensions Adjusted for Inflation

December 22, 2024
New Law Shakes Up Taxes: 400,000 Households Affected, Pensions Adjusted for Inflation
  • In the midst of these economic changes, François Bayrou is currently focused on forming his government.

  • Enacted on December 20, 2024, the special finance law includes a provision for adjusting all pensions based on inflation, directly affecting retirees.

  • A recent study by the Observatoire français des conjonctures économiques (OFCE) highlights the economic ramifications of a newly adopted special law.

  • The analysis examines the consequences of the absence of a budget and identifies the beneficiaries and those adversely affected by the abandoned measures of the 2025 budget.

  • Among the key measures that were abandoned are increased taxes on high incomes, modifications to income tax brackets, and a surtax on electricity.

  • The new legislation is set to add 400,000 households to the tax rolls, which will have a significant impact on the middle class.

Summary based on 1 source


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