French President Proposes 75% Income Tax, Wealthy Flee

On July 17, I had a post that looked at French President Francois Hollande’s plan to raise taxes on the wealthy by placing a 45% tax on all incomes between 72,000 and 1 million euros, and a 75% tax on all incomes above 1 million.

And it now appears the idea of a 75% tax rate has sunk in, and France’s wealthiest citizens are looking for other places to keep their money as well as other places to call home. The New York Times is reporting that wealthy citizens of all ages are already shifting finances and wondering aloud if it’s time to leave the country “where making money is not considered a good thing.”

As the The Times reports, Hollande was largely elected in May via class resentment against the rich. Both his rhetoric and that of activists supporting him denounced the rich as not paying their fair share: something he promised to make them do if elected to office. 

It looks like he’s now making good on his promise. The problem is, he may find there are not enough rich left to tax if France’s wealthiest do indeed pack their bags in protest.