France to alter plans to raise taxes on ultra-rich

The French government

French President Francois Hollande, delivers a speech as he visits the Radiall engineering and coaxial connectors plant in Chateau-Renault, central France, Monday, Dec. 17, 2012. (AP Photo/Philippe Wojazer, Pool )

PARIS (AP) -- The French government's plan to raise taxes on the wealthy is being radically scaled back after a second legal opinion said the proposed marginal rate of 75 percent was unfair.

France's highest court had already thrown out the 75-percent rate, and a high-level advisory council agreed. The Socialist government on Friday said that under the decision, the rate on those with incomes above 1 million euros ($1.3 million) could not exceed 60 percent.

French President Francois Hollande campaigned on a promise to impose the tax, despite criticism that it would do little to solve growing fiscal problems and would drive away the wealthiest citizens. The current top tax rate is 45 percent.

The government says it will introduce a new measure in response to the decision.


Join the Conversation!

While WVLT allows comments on articles, we ask that you respect the online community. Comments may be removed at any time for violations including:

  • Obscenity, profanity, vulgarity, racism, violent descriptions, name-calling or personal attacks.
  • Abuse of multiple accounts.
  • Off-topic comments.

Comments may be checked for inappropriate content or rule violation, but the station is under no legal obligation to monitor or remove comments. If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator. 
Flagging does not guarantee removal.

powered by Disqus

WVLT VOLUNTEER TV

6450 Papermill Drive Knoxville, TN 37919 Phone - (865) 450-8888; Fax - (865) 450-8869
Copyright © 2014 WVLT-TV Inc. - Designed by Gray Digital Media - Powered by Clickability 199633021 - local8now.com/a?a=199633021
Gray Television, Inc.