A project of “special law” on the budget, allowing the State to raise taxes from January 1, will be presented to the Council of Ministers on Wednesday, the Elysée said on Tuesday.
This “temporary law” had been announced by Emmanuel Macron in his televised speech after the censorship of Michel Barnier’s government, in order to ensure “the continuity of public services and the life of the country”.
The resignation of the Prime Minister and his team left pending the examination in Parliament of the draft budget for 2025, the adoption of which before the end of the year becomes improbable in the absence of a new government to take over the debates.
As provided for in the Constitution in such circumstances, the executive may present a “special law”. The text will include three articles, according to a ministerial source.
The main measure will consist, as provided for in the organic law relating to finance laws (LOLF), in authorizing the government “to continue to collect existing taxes” until a formal budget is voted on.
This framework also provides for the renewal of State expenditure at their 2024 level, via “decrees opening the applicable credits”.
The two other provisions should allow the State and Social Security to borrow on the financial markets, via their dedicated agencies (AFT and Acoss), in order to avoid ending up in suspension of payments.
This bill will be examined in the National Assembly on December 16, indicated the Ministry of Relations with Parliament.
The resigning Minister of Public Accounts Laurent Saint-Martin will be heard on this text on Wednesday in the Finance Committee, which will examine it on Thursday, we learned from parliamentary sources.
The examination of the special bill by the Senate is also planned for December 18, according to parliamentary sources.
There is little doubt about its vote in both chambers, with most of the political forces represented in Parliament having already made it clear that they would not oppose it. “We must guarantee budgetary continuity”explained the coordinator of LFI, Manuel Bompard, on France 2.
The Insoumis deputies, however, intend to table an amendment to “put in this special law the indexation of the income tax scale”he clarified. This technical provision, provided for in the Barnier government’s budget before its censorship, would avoid “18 million French people” to pay more taxes next year.
But opinions differ on the possibility of passing it via an amendment to the special law. The resigning Minister of Public Accounts, Laurent Saint-Martin, warned on Monday against a constitutional impossibility.
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