The new president of Medef, Patrick Martin, estimated on Monday that postponing the total abolition of the CVAE until 2027 instead of 2024 would be “a very bad signal” for companies liable for this production tax.
“Besides that it would alter the confidence of entrepreneurs in the word of the State – because yes the State was committed to it, the law was voted – a new spread of the abolition of the CVAE (contribution on the added value companies, editor’s note) would be a very bad signal, ”said Patrick Martin on the first day of the big back-to-school meeting of the employers’ organization.
“Our companies, particularly our industrial companies, urgently need this immediate suppression, at a time when international competition is intensifying and when we must invest massively in decarbonisation”, he added.
This abolition announced for 2024 has been integrated by companies, in particular “in terms of investment and hiring decisions”, and “it must take place in good time”, he insisted.
Invited to participate in this Meeting of Entrepreneurs of France (REF), scheduled until Tuesday, Prime Minister Elisabeth Borne insisted on the need to stay the course in terms of the consolidation of public finances, in a more difficult macroeconomic context.
“What I can confirm to you is that all of the CVAE will be abolished before the end of the five-year term, and that we will do it at the fastest possible pace, taking into account another objective that I think we share. : the need to maintain our trajectory of control of our public finances”, she retorted.
“If we didn’t do it, I think all business leaders know it, it would have an immediate impact on interest rates and therefore on our economic activity,” she added, highlighting the “pro-business policy” led by the government since 2017.
She also assured that in terms of sick leave, “there will not be a unilateral decision that would fall on companies”, while the president of Medef expressed concern that companies would be charged with “certain sick leave for which they are essentially not responsible”.