I’ve been watching the economies of Europe with growing apprehension, not only out of concern for my European friends, but also out of worry that the austerity programs imposed by the right wing, partially at the request of US Banksters, may cause economic turmoil that would jump the pond and return the US to the Republican recession. Nevertheless, I see one bright light.
As he promised throughout his presidential campaign, Francois Hollande on Wednesday introduced a new 2012 corrective budget that calls for, among other measures, a one-off tax levy on the nation’s wealthiest individuals and large corporations to help address the nation’s current financial woes.
France’s President Francois Hollande outside the Elysee Palace in Paris on July 4, 2012. (REUTERS/Philippe Wojazer) “We face an extremely difficult financial and economic situation,” Finance Minister Pierre Moscovici said at a press conference in Paris. “The wealthiest households, the big companies, will be asked to contribute. In 2012 and 2013, the effort will be particularly large.”
According to Reuters, the taxes on individuals will target those with net wealth of more than 1.3 million euros (or $1.63 million) and aim to raise nearly 2.3 billion euros ($2.90 billion) in this budget cycle alone. The levy focused on large banks and oil-related energy firms is designed to bring an additional 1.1 billion euros. Both increases are part of a scheme to close what the nation’s state auditor says is a 6-10 billion euro budget gap in 2012. Other measures include the lifting of a payroll tax holiday and a levy on dividends and stock options.
Hollande, according to a Bloomberg report, has said the 2013 budget will restore the pre-Sarkozy wealth tax rates on people with assets of more than 1.3 million euros. That will return the rate to 75% for those making over $1 million… [emphasis added]
Inserted from <Common Dreams>
Kudos to Hollande! If we would follow his example on this side of the pond, our economy would be much better off. Obama and the Democrats have tried on several occasions, albeit to a lesser extent. Sadly, Republicans have been successful in their obstruction to protect the 1%.
8 Responses to “Hollande Gets It Right”
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François Hollande is off and running on his campaign promises to bring French debt under control. He has announced tax increases for the wealthy and some corporations, some being reversal of some tax decreases put in place by his predecessor, Nickolas Sarkozy. The world will be watching to see how things go. No doubt that the Republican/Teabaggers will be watching, especially over the next 4 months.
I hope that these measures show promise and that other governments, like the US, find the balls to take on the 1% and corporations that have benefited from record low tax rates while the middle and poor classes shoulder the burden. Certainly the Republican/Teabaggers will never make this move so it is important to put a 'people's government' in place.
Vote Democrat 2012!!!!! Vote Obama/Biden 2012!!!!!
Lynn, I completely agree, except it's Vote Democratic. Calling the Democrats the Democrat Party, instead of the Democratic Party (correct), is a Republican insult. They said it's because there's nothing democratic about the party. They have kept this insult going for years.
"Kudos to Hollande! If we would follow his example on this side of the pond, our economy would be much better off. "
I've been advocating this for months as Warren Buffet voices that he shouldn't pay less taxes than his secretary..
…as have I.
Let's hope our government soon follows suit.
Amen, Edie!
I agree.Kudos to Hollande! The only way our government will ever follow suit is to elect Democrat majorities in the House & Senate and re-elect Pres. Obama in November! Vote Democrat!
I agree, but see my reply to Lynn about voting Democratic.