the LR deputies divided on the removal of the sensitive CVAE

The abolition of the contribution on the added value of companies (CVAE), a production tax, planned in two years by the government in its budget for 2023, arouses strong opposition on the left, but also from deputies of the LR group, yet officially favorable to its disappearance.

This tax, which generated more than 9 billion euros in tax revenue in 2021, according to the General Directorate of Local Authorities, is collected by the departments and municipalities. The government wants to reduce the CVAE by half in 2023, and make it disappear for good in 2024.

This decision irritates local elected officials and the left, author of several amendments for its maintenance. The LR group, pivot in the current configuration of the Assembly, could play an important role in the discussion.

The official position of the group is in favor of this deletion, as reaffirmed by AFP on Wednesday the Commissioner of Finance Vronique Louwagie. But there is a freedom of votes and individual positions, she said. And for good reason, around twenty deputies among the sixty that make up the LR group have tabled or co-signed amendments asking for its maintenance.

This abolition of the CVAE will weaken the communities, those which held the country during the Covid crisis and the fires this summer, insists the deputy LR of the Alpes-Maritimes Eric Pauget.

The executive proposes to compensate communities via a fraction of VAT receipts. a will not last in time, fears Mr. Pauget, who predicts a jump in the property tax in communities that will have no choice.

We all (LR) have a shared observation, we must reduce production taxes, says Ian Boucard (LR, Territoire-de-Belfort), but we cannot cut the link between territories and companies.

Nobanques: the cheapest offers to control your budget

I know how important the CVAE is for communities, explains Alexandra Martin (LR, Alpes-Maritimes), who pleads instead for the abolition of the social solidarity contribution of companies, and failing that the abolition of the CVAE in three years rather than two .

Julien Dive (LR, Aisne) says he is torn between maintaining an important and relevant tax tool, and the desire to reduce taxation on certain companies.

The solution would perhaps be fiscal decentralization with community-business consultation that would make it possible to set production taxes, he hopes.

Still, the triggering of 49.3 by the government, if it occurs before the examination of article 5 of the budget, could cut short the debates on the CVAE before they begin.

source site-96