French prime minister announces the early death of the 75% tax in France

[Bertus]

Valls Points to End of 75% Tax to Rebuff View France Is Finished

http://www.businessweek.com/news/20...don-to-counter-charge-that-france-is-finished

French Prime Minister Manuel Valls told Londoners that his nation’s so-called millionaire tax is expiring, vaunting his “pro-business” credentials in a bid to refute a suggestion that France is “finished.”

Andy Street, managing director of retailer John Lewis, made that claim after visiting Paris last week, adding that France is “sclerotic, hopeless and downbeat.” Although Street later apologized for the remarks, they drew headlines because they reinforced popular perceptions of the nation’s decline.

Our stupid socialists here in France finally understood that hating on rich people doesn't work well nowadays. Many rich CEO left the country. Many young people left the country to create companies elsewhere. And also, it plagued the French Football League greatly.

It puts an end to a tax that plagued the french league. PSG had to pay 30+ millions euros this year because of it. It will greatly help them next year on the matter of the FFP.

PSG was not the only sad case, Lyon and Marseille for example had to sell players, and didn't recruit much or at all because of it.

 

[TornAndFrayed]

tbh 4 million for marseille and lyon wasn't a game changer.

Also the tax is a perfect scapegoat. Just look at Labrune, who recently said that Marseille would not give Gignac a contract extension because "french clubs can't afford to pay over 3 mill in wages to one player" even though the tax will be dead in 2015. What was really going on there ?

Seems like mismanagement is more of an impediment than the dreaded tax (except for psg, of course), but I guess we'll hear how the tax is responsible for anythings bad for the Ligue 1 for the next decade

 

[khaled_a_d]

tbh 4 million for marseille and lyon wasn't a game changer.

Also the tax is a perfect scapegoat. Just look at Labrune, who recently said that Marseille would not give Gignac a contract extension because "french clubs can't afford to pay over 3 mill in wages to one player" even though the tax will be dead in 2015. What was really going on there ?

Seems like mismanagement is more of an impediment than the dreaded tax (except for psg, of course), but I guess we'll hear how the tax is responsible for anythings bad for the Ligue 1 for the next decade

France is one of the biggest economies in Europe,if I remember correctly they are 2nd after Germany and above England
Football is growig market,and has been since João Havelange took FIFA presidency at least ,investors want to put their money in it.but to do so they need a country rich enough to be worth it.
Qatari investors made smart purchase when they bought PSG,England was the perfect spot for decade but the league seems sort of saturated with billionairs competing with each other.they needed to open new market.Spain&Italy looks like they are the logical choices football wise but their economy is a mess right now unforunately,nvm it will be tough to compete with Barca&RM_impossible to buy them_while Italian big clubs already owned by Tycoons like Berlusconiwho isn't interested to sell.even if he wants to do it seems Italy isn't attractive spot.look at Thohir
Germany on the other hand is the league of people,they are the least between all of them in trying to squeeze money by any mean,respect to them but not for owners who aren't allowed in most cases to buy more than 49% of club
That is why France was the most logical place,they basically opened a new market and honestly I expected that the new investors will shift to them now,big economy and a football country ,things was going well then this taxes shot any hope in such thing ,it was just absured ,Monaco seemed to be one who can avoid that but their owner ex-wife had another opinion .now I think there is more hope,investors should be encouraged to buy big clubs there and make a rivalry with PSG which would benifit everyone

One more thing,I like socialists to some degree (not like I am one) and respect fighting for the poor and everything specially considering where I came from.but I don't like the idea of the government taking anything over half what anyone make no matter the cause

 

[TornAndFrayed]

well i'm no socialist anyway

I agree with your post, I was against the 75% tax, just pointing out that its immediate impact on clubs (PSG aside) was small in comparison to all the fuss it generated. It discouraged potential investors, but only for that particular time period.

The one thing I disagree with is that France is a "football country". It is not, at least in comparison to England, Spain or Germany

 

[pacp_96]

When I saw the comment 'hating on the rich' I was literally ROTFL

 

[Ghosting]

France is one of the biggest economies in Europe,if I remember correctly they are 2nd after Germany and above England
Football is growig market,and has been since João Havelange took FIFA presidency at least ,investors want to put their money in it.but to do so they need a country rich enough to be worth it.
Qatari investors made smart purchase when they bought PSG,England was the perfect spot for decade but the league seems sort of saturated with billionairs competing with each other.they needed to open new market.Spain&Italy looks like they are the logical choices football wise but their economy is a mess right now unforunately,nvm it will be tough to compete with Barca&RM_impossible to buy them_while Italian big clubs already owned by Tycoons like Berlusconiwho isn't interested to sell.even if he wants to do it seems Italy isn't attractive spot.look at Thohir
Germany on the other hand is the league of people,they are the least between all of them in trying to squeeze money by any mean,respect to them but not for owners who aren't allowed in most cases to buy more than 49% of club
That is why France was the most logical place,they basically opened a new market and honestly I expected that the new investors will shift to them now,big economy and a football country ,things was going well then this taxes shot any hope in such thing ,it was just absured ,Monaco seemed to be one who can avoid that but their owner ex-wife had another opinion .now I think there is more hope,investors should be encouraged to buy big clubs there and make a rivalry with PSG which would benifit everyone

One more thing,I like socialists to some degree (not like I am one) and respect fighting for the poor and everything specially considering where I came from.but I don't like the idea of the government taking anything over half what anyone make no matter the cause

I don't think anyone with any economical sense will be flocking to France to be honest. You are correct that in terms of GDP right now it is above the UK. But whilst UK is growing, France has become stagnant the International Monetary Fund stated recently the UK will soon overtake France. And in fact worse than that France with its debt of nearly 100 % of GDP could, and quite possibly will collapse and bring the eurozone back into recession which will of course affect the entire world.

 

[TornAndFrayed]

France with its debt of nearly 100 % of GDP could, and quite possibly will collapse and bring the eurozone back into recession which will of course affect the entire world.

The time when debt = GDP was a catastrophe is passed. And debt is less detrimental in large economies.

 

[pacp_96]

Debt is irrelevant anywhere. Economy/money is conceptual which is funny when something that is not conceptual, the planet, is constantly screwed over in order to fuel the conceptual economy. What a world we live in.

 

[Ghosting]

^ Well yes money is conceptual, but that is entirely the point with debt, there must be assumption that it can be paid back even if it can't, however a sudden loss of confidence in that ability can cause everything to crumble.

The point about the near 100% though is more to do with the fact that France want to keep spending to help boost the economy, but Germany wants them to respect the debt to gdp ratio (at least a little) and it is likely Germany will reject Frances proposal.

 

[Jenks]

The Eurozone was ill-thought out from the first place. Europe is too diverse for one single currency to work for everyone. There's a very real risk of collapse.

 

[TornAndFrayed]

Less real then two years ago though
also, Hollande knows he can't dictate policy (still tries although it is doomed which is a trademark of his), the right wing of the socialist party is basically in power now

 

[Ryu Hayabusa]

PSG had to pay 30+ millions euros this year because of it. It will greatly help them next year on the matter of the FFP.

PSG was not the only sad case

I'm sorry Bertus, but that choice of words...