They should represent 1 billion euros in total

Difficult, this year, to the fine mouth. While the employers had focused its re-entry last year on the rejection of the taxes which is announced (generalization of the premium transportation, taxation of capital to finance the RSA, tax on the turnover of the insurers and the operators of telephony...), the Medef, which meets from this afternoon for his summer at Jouy-en-Josas (Yvelines) University, must recognize that fiscal policy of the Government is largely favourable to him today. After a year marked by short term anti-crisis measures, the 2010 budget will aim to structurally reform the taxation for the activity, says the Executive.

Next year, the removal of business tax should, alone, representing a gain of 10 to 12 billion euros for businesses cash. "If we end up, this is excellent news," acknowledged yesterday at the Medef before the summer University. Specific budgetary cost will depend on the latest concessions granted this week to limit the number of losers. The tax cut, as such, is estimated to be approximately 6 billion euros, plus more than 4 billion euros of rebates, in respect of previous years (ceiling on the value added, etc.). Several new taxes are nevertheless planned to limit the benefit of companies, today among the largest contributors of the TP. They should represent 1 billion euros in total. EDF, SNCF and the mobile operators are particularly concerned. In addition, the companies carry half of the carbon tax contemplated in the price of 15 euros per tonne of CO emitted, for about 2 billion euros that they will not be reassigned (see page 2).

Support for the cash

At the decline of business tax, additional levies cuts decided in recent years. The removal of the annual flat tax (IFA) who reported 1.6 billion euros to the State, extends the year next to companies whose turnover is less than EUR 15 million. The extra cost 714 million. In 2011, the IFA will have completely disappeared, for an additional cost of still EUR 584 million. The decline of the VAT in the restaurant, at July 1, will also effect the year next, namely a net cost of EUR 2.4 billion (half less in 2009). Tax research (CIR) credit, on the other hand, should stop its rise after several years of strong growth and a cost of 2 billion euros this year. Under the stimulus plan, companies have indeed led to tax-research credit accumulated in the previous three years. This removal will not happen next year.

Some at Bercy would therefore like to perpetuate the pre-payment of CIR which took place at the beginning of year in cash of business support measures to deal with the crisis. A measure that makes sense, judge on the Government, because innovative companies have important needs of working capital. But it would cost more than 1 billion euros next year. Probably too expensive given the State of public finances, especially in an already favorable business tax environment.

Another matter pending: the pursuit of the full exemption of hirings in corporations less loads from 10 employees (approximately 700 million per year) intended to terminate end of December but the Secretary of State for employment Laurent Wauquiez, suggests to extend as long as the out of the crisis is not assured.