Quote:
Originally Posted by Damien
But with a higher income tax, and a higher sales tax (which are two of the biggest taxes). What taxs do we have that make up for those? What are you basing it on?
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Like I said before, the French tax system is more complex than ours, and it's actually based on household income to some extent, not personal income. there are also lots and lots of thresholds at approx €5,000 to €10,000 bands where you will pay different levels of income tax, exverything from 5% right up to 50% so it's not a like for like comparison.
Also, like I also said before, the cost of living is lower, so even though a similar overall or greater level of taxation is being paid, it is being paid on a lower overall starting point, which means that less people are in a high tax bracket.
Looking at other taxes in France:
Alcohol duty is lower on locally produced products.
Fuel duty is lower in France (particularly on diesel which is more than double the European average, and which transports all of our goods to supermarkets of course).
The French have a state-subsidised energy market (although by the sounds of things not for much longer).
Council tax equivalents is generally cheaper than in the UK.
Capital Gains Tax is far lower in France.
Inheritance tax is somewhat different in France, so I couldn't say whether it's better or worse, but by the looks of it if your leave something to an heir, there's no tax to pay.