France is preparing to have a budget … and taxpayers to finally be fixed on their fate for this year 2025. The announcement of the non-censorship of the government of François Bayrou by the groups of the Socialist Party, Monday, February 3, and of the national rally, Tuesday, should thus confirm the adoption of the 2025 finance bill. The probably ratified version will therefore be that resulting from the joint joint commission (CMP), which has seen 7 deputies and 7 Senators floor on a budgetary text end of January.
A budget overhauled in relation to the government’s initial copy, in particular with regard to income tax. Indeed, the CMP lowered to 1.8 % the revaluation of the sections of the income tax scale for the year 2025. The objective? Take into account inflation, which increased on average up to this value in 2024 – excluding tobacco prices. The various thresholds of income tax, which make it possible to determine in what proportion impose the various tax households, therefore see their amounts increase for the next declaration.
As long as the budget had not been adopted, this indexing on inflation was not possible. The special law, voted in December to ensure the budgetary continuity of the State and enabled it to collect taxes, had not made it possible to modify this scale. At the time, part of the left demanded to see this measure appearing in this exceptional text, but the Council of State had decided in favor of the opposite decision.
619,000 non -taxable taxpayers thanks to indexing
What will this indexing change concretely? Thanks to salary increases, certain taxpayers, which were located in the first tranche of the unsuccessful scale, risked switching to the second tranche, imposed up to 11 %. This will therefore not be the case, since the rise in thresholds at that of inflation makes it possible to cover households which have experienced an increase in their remuneration less than or equal to 1.8 % in 2024. Thanks to this measurement , 619,000 taxpayers will not be taxable this year, according to the Ministry of Economy and Finance.
Inflation indexing benefits all slices. In other words, if your salary has not increased beyond 1.8 % last year, you will not pay more income taxes. On the other hand, if your salary increased beyond the level of inflation last year, you may in this case pay a larger invoice. In detail, for a fiscal part, the new sections are therefore determined as this: no taxation for income reaching up to 11,492 euros annually, a rate at 11 % between 11,493 and 29,315 euros, a rate at 30 % between 29,316 euros and 83,823 euros, a rate of 41 % between 83,824 euros and 180,294 euros and a rate to 45 % beyond this amount. The declaration of your income should be able to be made as every year from spring.
The budget initially proposed by the government of Prime Minister Michel Barnier, censored in early December, provided for a revaluation of the scale for 2 %scale. A measure supposed to “protect the purchasing power of the French”. Finally, indexing therefore remains just in terms of inflation at 1.8 %. The Bill Finance 2025 also strengthens the tax for strong remuneration, beyond 250,000 annually for a person. This exceptional contribution will also be requested from large companies.