Purchasing power: the amending budget in the Senate with the tax on “superprofits”

Purchasing power: the amending budget in the Senate with the tax on “superprofits”

The Senate, with a right-wing majority, begins on Monday the examination at first reading of the draft amending budget, the second part of the measures to support purchasing power, which will see the question of a taxation of the “superprofits” of large groups reappear.

Continuation of the tariff shield on energy and the fuel discount at 30 cents per liter in September-October then 10 in November-December, revaluation of the index point for civil servants… The amending finance bill for 2022 opens 44 billion euros in loans, including 9.7 to finance the 100% renationalisation of EDF.

If the debates are expected in the Senate less electric than in the National Assembly, they will have to be carried out at the pace, because planned only over two days, night included.

The High Assembly will not escape the debate on the taxation of “superprofits”. Slightly rejected by the deputies, it was revived by the enormous profits reaped by TotalEnergies, but also Engie and carriers such as CMA CGM. TotalEnergies more than doubled its net profit in the second quarter to $5.7 billion.

The idea of ​​an exceptional contribution in the form of a tax, as applied in Great Britain or Italy, will be carried by the left but also by the centrist group. Its president Hervé Marseille intends to make its “markers” heard, even if it means “diverging” with LR, the first component of the right-wing senatorial majority.

“We have a more social than budgetary vision,” he says. His group will propose the establishment of an exceptional solidarity contribution on superprofits at 20%.

But even with the support of all the left, the supertax should not, unless surprise, be voted.

Bruno Le Maire, Minister of the Economy, Finance and Recovery, during a session of questions to the government at the National Assembly, in Paris, on July 19, 2022 (AFP/Archives – Christophe ARCHAMBAULT)

The Minister of Economy Bruno Le Maire strongly opposed it, arguing that “a tax is not a response to the economic situation of our country”.

The Minister Delegate for Trade, Olivia Grégoire, for her part postponed the question to the end of the year, “if we realize that companies have not taken their responsibilities towards the French”.

Another expected point of discussion, the abolition of the audiovisual license fee. The left opposes it and the centrists demand that it be postponed.

Without calling it into question, the general rapporteur for the budget Jean-François Husson (LR) proposes to limit to December 31, 2024 the allocation of a fraction of the VAT product intended to ensure the financing of public broadcasting, the time of put in place “a real reform of the sector”.

– Protect communities –

The LR group will return to the charge on overtime, wishing to perpetuate the increase to 7,500 euros in the tax exemption ceiling, voted by the National Assembly for 2022.

The Chamber of Territories will also be keen to push the cursor a little further on support measures for communities, which are also impacted by inflation, the general rapporteur wishing “a safety net”.

Gérard Larcher, President of the Senate, in Paris, October 13, 2020 (AFP/Archives - Bertrand GUAY)
Gérard Larcher, President of the Senate, in Paris, October 13, 2020 (AFP/Archives – Bertrand GUAY)

In committee, the senators again adopted an “exceptional envelope of 40 million euros” for food banks. And replaced the exceptional back-to-school bonus of 100 euros, reserved for social minima, with an exceptional increase of 150 euros for beneficiaries of the activity bonus.

As this is a finance law, the amendments voted on in committee must be approved again in the Chamber.

Regarding the price of fuel, Mr. Husson does not intend to go back on the compromise found by the government with the LR deputies. “We are not going to add confusion to an agreement resulting from a showdown,” he told AFP.

The Minister wished to be able to “preserve this compromise”, specifying that with the discounts from distributors and oil companies, “we can have a price per liter of petrol or diesel at the start of the school year around 1.50 euros”.

The Senate already voted on Friday evening at first reading, after having amended it, the “emergency” bill in support of purchasing power adopted in the Assembly.

Deputies and senators will meet Monday at the end of the afternoon in a joint joint committee to try to agree on a common version of this first part of the measures, the government expecting a final adoption of the two texts no later than August 7. , which would allow parliamentarians to go on vacation.

Source

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