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France’s Socialist 75 percent tax rate is economic suicide
The Telegraph (UK) ^ | September 28, 2012 | Nile Gardiner

Posted on 10/01/2012 12:38:49 AM PDT by UnapologeticConservative

Back in May I wrote a piece describing Francois Hollande’s election victory as emblematic of the EU’s decline, noting that “his government promises to be a symbol of everything that is wrong with Europe today.” True to his election campaign promise, the new French president, together with his prime minister Jean-Marc Ayrault, has outlined his plans for a 75 percent marginal income tax rate tax on anyone earning more than €1 million Euros a year.

This is economic suicide for the second biggest economy in Europe, a supreme act of financial har-kiri for a country whose public debt has now risen to 91 percent of GDP, a growth of 30 percent in five years. This is part of €20 billion Euros worth of new taxes, mainly on businesses and high earners, unveiled by a backward-looking Socialist government seemingly intent on economic self-destruction. As Jean-Paul Agon, chief of L’Oreal told The Financial Times earlier this week, it will now become “almost impossible” for France to attract leading business talent.

(Excerpt) Read more at blogs.telegraph.co.uk ...


TOPICS: Business/Economy; Crime/Corruption; Foreign Affairs
KEYWORDS: europe; france; socialism; taxation
http://blogs.telegraph.co.uk/news/nilegardiner/100182875/frances-socialist-75-percent-tax-rate-is-economic-suicide/
1 posted on 10/01/2012 12:39:02 AM PDT by UnapologeticConservative
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To: UnapologeticConservative

In a word... Duh!


2 posted on 10/01/2012 1:05:27 AM PDT by 24-7Freeper
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To: UnapologeticConservative

When France sinks like the Titanic a new government will need to rise to establish order—I believe the salvation will be with Madam LePen and a conservative neo-fascist rule. Fewer freedoms but the nation will be saved. Fascism is like a poison pill—a drastic cure that works but like bad medicine has awful side effects. It will not be like Nazi Germany—that was Fascism on steroids—it will be more like Mussolini’s Italy or Evita Peron’s Argentina. Look to see the President of France become the Leader—and a 6th Republic formed. That’s what happens when things go south.


3 posted on 10/01/2012 1:10:47 AM PDT by Forward the Light Brigade (Into the Jaws of H*ll)
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To: 24-7Freeper

More like Le Duh.


4 posted on 10/01/2012 1:11:04 AM PDT by Happy Rain ("Mitt who? I'm voting for Ryan.")
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To: UnapologeticConservative

I would make these observations.

This tax hike has been hinted for months and most tax experts had already warned their clients to prepare. Several countries surrounding France have indicated that they’d easily accept the folks leaving. Then you have question over how many will pack up, and I’m of the mind that fifty percent of the people affected will shift money around through various accounts, and finally disappear one day....to be found the next over in Italy or Spain as a new resident. The executives of corporations? They probably will shift their headquarters over to Luxembourg or the Netherlands...then quietly move their family out in the middle of the night.

The damage done....will be noticed in about eighteen months. The tax office will admit half of the affected don’t live in France anymore. The idiots who started the mess will say for a year that it doesn’t matter, while the tax office admits that they are now missing a bit of money which has to be made up. The natural course is to now tax the next class after the super-wealthy...so they will attempt that. By the fourth year, anger and hostility will be brewing over this whole mess.


5 posted on 10/01/2012 1:14:21 AM PDT by pepsionice
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To: Forward the Light Brigade
[. . .I believe the salvation will be with Madam LePen and a conservative neo-fascist rule.]

I think also the growing Muslim populations in the UK, the Netherlands and France could lead to civil war and military government.

6 posted on 10/01/2012 1:52:56 AM PDT by Brad from Tennessee (A politician can't give you anything he hasn't first stolen from you.)
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To: pepsionice

You raise some good points.


7 posted on 10/01/2012 1:55:02 AM PDT by UnapologeticConservative
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To: UnapologeticConservative

Coming soon to the U.S.


8 posted on 10/01/2012 1:57:03 AM PDT by nickcarraway
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People that don’t understand numbers sicken me. If the US FedGov outright CONFISCATED all the money from everyone that makes over $1M in this country, it would olny fund the govt for about 75 days.

Taxing is nothing but class warfare of envy and jealously.

It’s spending in the first place that causes 2-dimensional thinkers to unthinkingly blurt out that taxes must be raised instead of spending cut.


9 posted on 10/01/2012 2:47:03 AM PDT by USCG SimTech (Honored to serve since '71)
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To: UnapologeticConservative

Socialist stuck on stupid!


10 posted on 10/01/2012 4:09:57 AM PDT by sirchtruth (Freedom is not free.)
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To: nickcarraway

I agree. An Obama victory in the election will mean the end of life in America that has been for the past 200+ years. We will enter a absolutely new era in American life and no one is going to be happy. Not even the dead beats, because the free money will run out.


11 posted on 10/01/2012 4:13:30 AM PDT by RetiredArmy (The Scriptures clearly tell us we are in the last days, the end times. Christ is the only answer!)
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To: USCG SimTech

You must mean all the wealth (savings, investments, etc).

Taking all income over a half-million or so would fund the gov’t about 2 days. And that’s assuming recipients don’t cut their incomes to $0 the instant the 100% rate is announced.

Ronald Regan, as actor, did not make more than 2 movies per year because that would have put him in a 92% tax bracket.


12 posted on 10/01/2012 4:17:26 AM PDT by ctdonath2 ($1 meals: http://abuckaplate.blogspot.com)
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To: pepsionice
By the fourth year, anger and hostility will be brewing over this whole mess.

It won't take that long. The muzzie enclaves will start trouble as soon as the understand the weakness this tax rate will create.

13 posted on 10/01/2012 4:26:34 AM PDT by raybbr (People who still support Obama are either a Marxist or a moron.)
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To: UnapologeticConservative

14 posted on 10/01/2012 4:29:50 AM PDT by Travis McGee (www.EnemiesForeignAndDomestic.com)
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To: UnapologeticConservative

Good the French deserve it, inasmuch as they voted for their socialist president. And the USA will deserve the consequences if Bam is coronated for another four years...or 8....or 12, as he and his cohorts due away with ehe 2 term presiddency.


15 posted on 10/01/2012 4:32:22 AM PDT by kenmcg (t)
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To: pepsionice

Plenty of French sailboats are arriving in Florida, and not just for short visits.

It’s an old dodge; sink all of your savings into a boat, sail away, don’t come back. South Africans did it for decades. Now the French.


16 posted on 10/01/2012 4:32:32 AM PDT by Travis McGee (www.EnemiesForeignAndDomestic.com)
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To: Forward the Light Brigade
There's nothing remotely conservative about Fascism. Fascism is the left-wing totalitarian ideology that states that the Government should control the means of production.

Fascism's only difference with Communism is that Communists seek to own the means of production.

They are both vile totalitarian forms of Government that snuff out the middle-class in exchange for total control by a self-elected oligarchy.

17 posted on 10/01/2012 4:33:20 AM PDT by agere_contra (Vote ABO. Don't choose the Greater Evil and then boast about how principled you are)
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To: pepsionice

First they will prevent the money from leaving French banks.

Then French citizens.

Then guillotines.


18 posted on 10/01/2012 4:35:12 AM PDT by Travis McGee (www.EnemiesForeignAndDomestic.com)
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To: UnapologeticConservative
Every new French expat should send Hollande a nice farewell note reminding him how much tax they paid last year vs. the zero amount they will pay next year.

It has become obvious that politicians of all stripes value getting elected over patriotism. Hollande HAS to know that this is a FOOLISH tax policy, as are his policies on retirement age, work hours, & pensions. So, his only reason for promising these things was to get elected, even if those policies are disastrous for France.

Republican gov’ts such as France, Britain, & the USA depend on the honor & patriotism of their elected leaders to exist & thrive. But our elected leaders are incredible LIARS & pursue policies transparently destructive to the country.

I'm not sure humans are morally capable of sustained democracy & the rule of law. Certainly, the Republican form of democracy is failing badly, as the ignorant masses elect & reelect liars, thieves, & sociopaths.

19 posted on 10/01/2012 5:05:28 AM PDT by Mister Da (The mark of a wise man is not what he knows, but what he knows he doesn't know!)
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To: Travis McGee

The picture reminds me of the company I worked for. When a program goes “red” or having problems. You will get management folks come in from the East Coast and you get more management than you ever wanted. They institute mandatory unpaid overtime, work on weekends, any and all vacation is canceled. Lastly, the dress code gets more formal like no casual Friday or weekends too.

I never worked on a “red” program but hearing from other, it was horrible. As pertaining to this picture, East Coast management is equivalent to Government Intervention.


20 posted on 10/01/2012 5:11:16 AM PDT by CORedneck
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To: RetiredArmy

But if Romney gets elected, then all that will be okay. Then 75% taxation will be a good thing?


21 posted on 10/01/2012 5:27:53 AM PDT by nickcarraway
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To: agere_contra; Forward the Light Brigade
The google-translate of Marine Le Pen's platform doesn't look particularly fascist to me.

She wants to greatly restrict immigration, reduce taxes and simplify the tax code, give preference to French citizens in public housing over immigrants, and have illegal immigrants have no right to public housing, etc.

Go find where she's proposing fascism.

22 posted on 10/01/2012 5:28:20 AM PDT by PapaBear3625 (Charlie Daniels - Payback Time http://www.youtube.com/watch?v=EWwTJj_nosI)
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To: UnapologeticConservative

The Left worships death and destruction so the headline isn’t a surprise.


23 posted on 10/01/2012 5:38:43 AM PDT by Jack Hydrazine (It's the end of the world as we know it and I feel fine!)
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To: pepsionice

Large companies have been making this kind of move for years. I worked for a French owned company - they createed and located an Intellectual Property holding company in Switzerland within the last decade, licensing back the IP to the various subsidiary companies throughout the world so large licensing fees from each would be taxed at the Swiss rate prior to flowing back to the French parent as already taxed profits, avoiding taxation at the corporate level by France. There are a large number of such IP holding companies now located in Switzerland, probably will grow even more (even within Switzerland there are cantons with preferable tax rates that have prospered from the IP companies locating there - few employees with substantial corporate income).


24 posted on 10/01/2012 5:57:30 AM PDT by LibertyOh
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To: nickcarraway
Basically, I do not trust anyone that calls himself/herself a politician. In my humble opinion, 99.5% of them are either crooks or shortly will be after the “power” and “I am special” goes to their heads. Even good people seems to go down the drain once they cross over into that beltway of Sodom on the Potomac. Even if the RINOs win, I don't see it getting any better. Just because a RINO gets elected does not mean a $15 trillion debt just goes away. I do not see how that is ever going to be paid down.
25 posted on 10/01/2012 6:34:37 AM PDT by RetiredArmy (The Scriptures clearly tell us we are in the last days, the end times. Christ is the only answer!)
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To: Forward the Light Brigade

World wars are born of this stuff.


26 posted on 10/01/2012 6:38:53 AM PDT by Lazamataz (The American news media, the 'Pravda Press', is fully Soviet-ized.)
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To: UnapologeticConservative

When we take France back from the Germans again, do we get to KEEP it?


27 posted on 10/01/2012 6:56:54 AM PDT by JimRed (Excise the cancer before it kills us; feed &water the Tree of Liberty! TERM LIMITS, NOW & FOREVER!)
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To: JimRed

It would be no trivial task to sort out the parts you wanted to keep from those you didn’t.


28 posted on 10/01/2012 7:17:18 AM PDT by Erasmus (Zwischen des Teufels und des tiefen, blauen Meers)
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To: PapaBear3625

When the left screws up —the right must fix it. Who knows maybe they need an Emperor or King? Marine LePen may not be a fascist but the French Nation may be forced to head in that direction to keep from becoming a failed state and a province of Germany.


29 posted on 10/01/2012 7:57:38 AM PDT by Forward the Light Brigade (Into the Jaws of H*ll)
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To: Forward the Light Brigade
France does not need fascism. France needs free-market capitalism, low taxes, and an end to their Welfare State.

Unfortunately, France may be past the tipping point where the number of voters dependent on government exceeds 50%.

30 posted on 10/01/2012 8:36:11 AM PDT by PapaBear3625 (Charlie Daniels - Payback Time http://www.youtube.com/watch?v=EWwTJj_nosI)
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To: nickcarraway
But if Romney gets elected, then all that will be okay. Then 75% taxation will be a good thing?

Please post a link to where Romney or Ryan have even advocated a 75% tax rate.

Or cut the crap.

31 posted on 10/01/2012 9:24:37 AM PDT by jimt (Fear is the darkroom where negatives are developed.)
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To: JimRed

LOL: fair question.


32 posted on 10/01/2012 9:03:05 PM PDT by UnapologeticConservative
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To: sirchtruth

That would make a great bumper sticker.


33 posted on 10/01/2012 9:03:14 PM PDT by UnapologeticConservative
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