The continuation of the budget review has again sparked heated debate in Parliament. This Thursday morning deputies continued their examination of the 2026 APBN Finance Bill after being stopped for nine days.
The day before, the National Assembly voted to postpone pension reform during scrutiny, this time of the Social Security Bill (PLFSS), which could not reach a conclusion by Wednesday evening, much to the dismay of Rebels and Environmentalists.
The stalling of the PLFSS debate on Wednesday evening when there were still 200 amendments to be vetted was not a surprise. The Government had actually anticipated the use of article 47-1 of the Constitution which stipulated that the Assembly had “twenty days” to decide on the first reading, at the end of which the Government “seized the Senate”. The bill, largely revised, will now go before the Palais-Bourbon, possibly in committee on Saturday, before being examined in the hemicycle on Wednesday, November 19.
2,100 changes in state income
Checking the state budget may also be tiring here. Indeed, the first section alone, namely regarding state revenues, includes an examination of nearly 2,100 amendments.
This Thursday morning, MPs rejected eliminating the 10% reduction in pension tax. The government intends to replace it with a reduced flat rate of 2,000 euros. According to him, these actions should result in a profit of 1.2 billion euros for the State.
Other taxes should be discussed in the income section. Amid the controversy surrounding Chinese e-commerce giant Shein, executives proposed a tax on small packages. It aims to levy 2 euros on goods originating from countries outside the European Union. Lastly, the government proposed increasing stamp duty for people seeking residence permits, a move criticized by left-wing groups.
Holding the vote is not guaranteed
At the end of the hearing, a vote on the revenue section of the Financing Bill was supposed to take place on Monday, November 17. However, it is not certain that this will happen. “Faced with the horror of what is happening, we are not interested in holding a vote,” a Renaissance executive told AFP, adding that given the number of amendments proposed, this was not necessary to block, but to “take time to debate”.
In the first session of examining the state budget, the Assembly stated that it supported the imposition of high taxes on assets. Specifically, they impose taxes on holding companies. On the other hand, he opposes the “Zucman tax”, defended by the left which sets a minimum tax of 2% on assets over 100 million euros.
If a vote on income cannot be confirmed, then a vote on expenditure may not take place. In fact, the administration announced at Wednesday’s presidential conference the budget items it wants to examine. Among them, especially defense and sports.
In addition, the government has attempted to convey to the Senate all amendments that have been approved by the National Assembly.
