French former economy minister Éric Lombard presented his own estimates regarding the number of wealthy households in the country that legally do not pay income tax. His assessments, indicating several tens of thousands of such cases, are a response to earlier controversies sparked by the budget minister, who spoke of 13,000. Lombard explains that his calculations are based on a quick statistical analysis of fiscal data and concern individuals earning very high capital income.

Former Minister's Estimates

Éric Lombard, former economy minister, estimates that about 50,000 wealthy households in France do not pay income tax. Previous data from the budget minister indicated 13,000 such cases. Lombard emphasizes that his estimate is the result of a quick statistical calculation and falls within a broad range from 13,000 to less than 100,000.

Cause of the Phenomenon

The main cause of the discussed phenomenon is specific tax regulations. Individuals with very high incomes, primarily from capital (dividends, interest, capital gains), can benefit from exemptions and reliefs that effectively completely eliminate their tax liability. This is legal optimization, not tax avoidance.

Context of Public Debate

The issue came to light after a statement by the incumbent budget minister, who mentioned 13,000 wealthy, tax-free households. Lombard's estimates, higher and given in a broader range, indicate the scale of the phenomenon and may influence the debate on the fairness of the tax system and potential legal changes.

Additional Comment by Lombard

In a separate interview, the former minister also commented on the nomination of Amélie de Montchalin to the Court of Auditors (Cour des comptes). He expressed his conviction that she will act to preserve the full independence of this institution, which is responsible for auditing public finances.

French former economy minister, Éric Lombard, provided his own estimates regarding the scale of the phenomenon of wealthy households in France that do not pay income tax. According to his quick statistical calculation, based on available fiscal data, this number reaches about 50,000, which is a significantly higher estimate than the previously reported figure of 13,000 by the budget minister. Lombard noted, however, that the actual value falls within a broad range from 13,000 to less than 100,000. The French tax system has long been the subject of public debate concerning fairness and efficiency. It contains many mechanisms, such as the solidarity tax on wealth (ISF), tax reliefs, and exemptions from taxing certain capital incomes, which allow for a significant reduction or complete elimination of tax liabilities for individuals with high incomes. Lombard explained that this concerns individuals earning very high incomes, primarily from capital – dividends, interest, or capital gains. Thanks to various reliefs and exemptions, their tax liability can drop to zero. He emphasized that this is a legal situation, resulting from current law, and not an action on the edge of legality or tax avoidance. His comments are a response to earlier statements by the incumbent budget minister, which sparked a lively public discussion on fiscal inequalities. „Probablement entre 13 000 et moins de 100 000 foyers aisés ne paient pas l'impôt sur le revenu.” (Probably between 13,000 and less than 100,000 affluent households do not pay income tax.) — Éric Lombard In a separate context, regarding the nomination of Amélie de Montchalin to the Court of Auditors, Lombard expressed his conviction that she "will do everything so that it can continue to rule in full independence." The Court of Auditors is the highest French institution for auditing public finances, and ensuring its independence from the executive branch is crucial for the transparency and credibility of the state. All five articles, from leading French news media, focus on Lombard's estimates, with the most recent ones (Franceinfo, Le Monde) providing the more precise figure of "about 50,000," while earlier ones (Le Parisien) operate with a broader range. There is no information about an official government or budget minister reaction to these new estimates. The debate touches on fundamental issues of tax justice and the efficiency of the fiscal system in income redistribution, which, in the context of growing social inequalities in France, remains an exceptionally politically sensitive topic.

Mentioned People

  • Éric Lombard — French former economy minister, author of estimates regarding the number of wealthy households not paying tax.
  • Amélie de Montchalin — French politician, nominated to the Court of Auditors (Cour des comptes).