A report says that French PM plans new tax on people earning over 250,000 euros a year, Les Echos says. The measure would also apply to couples earning more than 500,000 euros annually. It is part of the government’s effort to increase state revenues and address concerns about fairness in taxation.
The plan is expected to be included in the 2026 budget proposal. It would renew a “minimum tax” rule to ensure high earners pay at least 20% in taxes. The government also aims to close loopholes that allow the wealthy to avoid dividend tax by using holding companies.
Officials estimate there are around 30,000 holding structures used for tax optimization. By targeting these, the state hopes to collect more than one billion euros. In total, the plan could generate between 4 and 4.5 billion euros from wealthy individuals.
Prime Minister Sébastien Lecornu, who recently took office, faces a divided parliament. Left-wing parties demand stronger measures, including a broader wealth tax, before they agree to back the budget. Socialists, in particular, are calling for a 2% levy on the richest households.
However, Lecornu has rejected the idea of a universal “Zucman tax” on total assets, arguing it could harm jobs and competitiveness. Instead, he supports a narrower approach focused on financial assets held in specific structures.
Critics argue this plan may be too limited. They warn that many ultra-rich households hold wealth in property or business assets, which could escape the new levy. Others fear it could push some businesses or investors to relocate.
Still, the proposal signals growing political pressure to tax high incomes. The French PM plans new tax on people earning over 250,000 euros a year, Les Echos says reflects attempts to balance revenue needs with economic stability.
The debate is expected to intensify in the coming weeks as lawmakers negotiate. Whether the plan passes will depend on political alliances and the government’s ability to address concerns over investment and growth.
For now, the message is clear: French PM plans new tax on people earning over 250,000 euros a year, Les Echos says, putting wealth taxation back at the heart of French politics.
