Green light from MPs to remove contribution exemptions on high salaries

The deputies voted for an elimination of exemptions from social contributions on salaries above 2.5 SMIC, during the examination in committee of the Social Security budget, a measure that the government could retain or exclude in its version of the text. he uses 49.3.

They also adopted a series of amendments introducing taxes on flavored beers, on added sugars in processed food products and reforming the soda tax, all against the opinion of the Renaissance rapporteur of the text, Stphanie Rist.

The latter, on the other hand, was in favor of the amendment by her Renaissance colleague Marc Ferracci, removing the exemptions from employer social contributions on salaries above 2.5 SMIC, deemed to have no impact on employment and the competitiveness of companies.

The resource generated, namely approximately 1.6 billion euros, would be used to reinforce the reductions on low and intermediate salaries, between 1 and 1.64 SMIC, because on this slice the evaluations and economic studies show that we are creating employment by lowering labor costs, explained the MP.

The socialist deputy Jrme Guedj, co-author with him of a report on the subject, defended in vain a comparable amendment but not providing for this reallocation, preferring that these resources could be mobilized for social policies. This amendment was supported by Renaissance MP Sacha Houli.

The various existing reductions, which concern salaries up to 3.5 SMIC, cost nearly 80 billion euros in 2022, going from 1.1 points of GDP in 2004 to 2.8 points in 2022, according to the report that had co-signed Marc Ferracci and Jrme Guedj. They pleaded for the removal of the family band above 2.5 SMIC, a reduction of 1.8 points in family contributions currently affecting salaries up to 3.5 SMIC.

The Social Affairs Committee also adopted a socialist amendment aimed at preventing alcoholism among young people with a contribution on sweetened or sweetened flavored beers.

Also against the opinion of the rapporteur, the deputies also adopted amendments from Modem deputy Cyrille Isaac-Sibille. One establishes a tax on added sugars in processed food products. The other reforms the soda tax on alcoholic beverages containing added sugars, judging that this tax tool is still little and poorly used in France.

The Social Security financing bill (PLFSS) for 2024 must arrive in the Chamber on Tuesday without the amendments adopted in committee, which will have to be resubmitted. The government will in any case have the choice of those it retains or rejects, if it triggers 49.3 as expected for adoption without a vote.

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