the Snat rejects the article removing the CVAE on a show of hands

A dramatic change in the Senate: the senators present in the hemicycle rejected Monday, by a show of hands, the article of the draft budget for 2023 removing the CVAE, local production tax.

The government will be able to restore its text by using Article 49.3 in the National Assembly.

At the end of a long debate, this vote appears however to be in contradiction with the result of the previous polls, acquired by public vote, by which the absentees can express themselves.

Amendments from the left and centrists specifically asking for the deletion of the article had thus been rejected by 179 votes against and 160 votes for.

The abolition of the business value added contribution (CVAE) is planned in two years by the government in its finance bill for 2023.

In favor of the abolition of production taxes, LR had wanted to spare the communities that benefit from the CVAE by providing a deadline to better prepare the compensation system, planned by the government, and deemed too vague.

The Senate had thus adopted, shortly before the vote on the entire article, a device proposed by the leader of the Republican senators Bruno Retailleau to defer for the communities the effect of the planned abolition of the CVAE, via a relief.

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The amendment defended in session by Christine Lavarde (LR) had beat the post that of the general rapporteur of the budget Jean-Franois Husson (LR) in favor of a postponement of one year of the reform desired by the government. But the vote was close (142 votes for and 133 votes against).

The LRs were in the minority in session when the article was voted on, socialist Rmi Fraud told AFP to explain the unexpected final vote.

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