France’s Socialist government has vowed to continue squeezing the rich, despite the rejection of its controversial 75 per cent tax rate by the country’s constitutional council.
President Fran?ois Hollande was forced to axe his 2013 budget proposal to impose the high marginal rate on incomes above €1m when the council struck it down on Saturday.
But Pierre Moscovici, finance minister, said the 75 per cent rate was an important element in what he called the government’s policy of social justice. He insisted the council ruling was a technical, not fundamental, objection and promised to introduce a revamped proposal in the new year.
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