No one wants to slog through binders and binders full of charts and obscure legalese in order to figure out whether or not they’re getting a tax break next year.
That’s why this Financial Times video will give any Frenchies (or situated expats) the info they need to understand the new French budget for 2019 as proposed by French president Emmanuel Macron. Derided as a “president for the rich,” Macron is struggling to boost his image despite a steep decline in popularity ratings with this new plan, which will cut taxes for households and gradually pave the way for a housing tax phase-out. This is a measure Macron hopes will distract middle class families from the fact that he’s also cutting pensions and unemployment benefits.
The plan will also raise the public sector budget deficit to 2.8% of France’s GDP, bringing it dangerously close to the EU cap of 3%. In other words, the French government is banking on citizens to use their new tax breaks to spend more on consumer products, stimulating the economy and reducing the need for unemployment by prompting companies to hire more people to keep up with consumer demand. So Macron had better pray that French people don’t take their cash and dump it straight in the piggy bank.