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Purchasing power. Bruno Le Maire is open to overtime taxes

Economy Minister Bruno Le Maire said on Friday he was ready to explore new overtime tax exemptions as part of an upcoming parliamentary debate on a package of measures aimed at purchasing power. “When we look at the issues of overtime work and tax exemption, is there still room for maneuver? (…) Why not.“, he said on France Info. “We are fully aligned with our mission, which is to value those who work and pay better for those who work.“, the minister added, thus extending a hand to the republicans, which is one of their demands.

Compensation from 100 to 300 euros depending on income level

Currently, overtime is tax-free up to a ceiling of €5,000 per year, up to a maximum of 220 hours worked in a year, except in a branch, company or specific collective agreement. Going further in this area is also a requirement of employers, the Confederation of SMEs proposes to reduce employers’ payments for overtime work. Bruno Le Maire also reiterated on Friday the government’s openness to changing the system, which plans to compensate those who use their car to go to work.

At this stage, the government project envisages compensation from 100 to 300 euros, depending on the level of income and the distance traveled. “Is it necessary to go further to the deciles (relevant income) or less far, focusing efforts I find this to be a particularly useful debate and we can, I assure you, improve this device together.“, the minister repeated before the Senate Finance Committee on Friday morning.

Source: Le Figaro

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