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French tax reform gets green light

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By Euronews

France will be moving to the pay as you earn tax system next year, French Prime Minister Edouard Philippe has confirmed. It was one of President Macron's campaign promises but fears about teething trouble led to speculation the reform might be postponed.

"I can assure you that on January 1 of next year, the income tax will be deducted at source and that it will be extremely simple and easy for taxpayers to use," Philippe told French TV station TF1 on Tuesday (September 4).

Philippe later tweeted: "This is a good reform that will adapt itself to the life of the French, so we don't have to ask the French people to get adapted to it".

But concerns remain that many French companies won't be ready to implement the reform.

Le Parisien newspaper reported massive and completely random mistakes in early testing - including employees paying tax twice or sometimes for other people.

But the government said the issues affected a tiny percentage of taxpayers and had anyway been resolved.