Institute for Research in Economic and Fiscal issues

IREF Europe - Institute for Research in Economic and Fiscal issues

Fiscal competition
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A New Fiscal Trap In France

Jean-Philippe Delsol has published an op-ed in the French newspaper Les Echos on February 20th about the relationship between entrepreneurs and the French fiscal administration.

Entrepreneurs submitting beforehand their balance sheet to be checked by fiscal inspectors: this is the new rule enforced by the French ministry of finance. Companies complying deliberately to this rule will not be inspected afterwards. It is called “trust building”. But, as Jean-Philippe Delsol points out, the more fiscal security the entrepreneurs are getting, the less freedom they have. Allowing a fiscal administration to fill the tax declaration for a company is an unacceptable intrusion into the company’s management. And if for now this tax inspection beforehand is made on a voluntary base, it could become an obligation in years to come. Instead of building more control over entrepreneurship, the French government should simplify fiscal laws : that only would build trust and transparency.

Read the op-ed in Les Echos

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