Tuesday, February 28, 2012

French presidential favourite vows 75% super tax...The tax isn't the Problem, the problem is Governments wasting the Money available

PARIS — The Socialist tipped to become France's next leader promised to impose a 75 percent tax bracket on France's top earners in a move denounced Tuesday by President Nicolas Sarkozy as "worrying amateurism".

Francois Hollande said it was simply a case of "patriotism to accept to pay extra tax to get the country back on its feet again" and reverse the policies of Sarkozy that he said favoured the rich.
"It is sending out a signal, a message of social cohesion," he said during a tour of France's annual agricultural fair in Paris.

Taxing the rich has become a hot issue in an election campaign marked by worry over the economic crisis and rising unemployment, which now stands at nearly three million.
Sarkozy slammed his rival's tax plan.

"This all gives the impression of improvisation, of precipitation, in short of amateurism that is quite worrying," he said while on the campaign trail in the southern city of Montpellier.

Hollande, tipped to beat Sarkozy in the vote in April and May, on Monday unveiled the plan for a 75 percent tax rate on all annual earnings above a threshold of a million euros ($1.3 million).

"I have seen the considerable progression of the pay of the CAC 40 (benchmark French stock market index) bosses. Two million euros (a year) on average. How can we accept that?" he asked on a television show. Read More