MEPs approve a “tax on unproductive wealth”

The deputies adopted the amendment by Jean-Paul Matteï (The Democrats) which aims to replace the real estate wealth tax (IFI) with a “tax on unproductive wealth”, compared by the socialists to a new wealth tax (ISF).

The evening was lively at the Palais Bourbon. The National Assembly approved at first reading, Friday October 31, the transformation of the real estate wealth tax (IFI) into “tax on unproductive wealth”. Adopted with 163 votes for and 150 against, the measure results from an amendment by MP Jean-Paul Matteï (The Democrats) to the bill on the 2026 budget, sub-amended by PS MP Philippe Brun.

This amendment proposes to include in the IFI base “unproductive assets” such as the “non-productive real estate, tangible movable property (precious objects, cars, yachts, planes, furniture, etc.), digital assets, life insurance for funds not allocated to productive investment”, and to remove productive real estate assets (such as properties rented for a period of more than one year meeting environmental criteria). Finally, it replaces the progressive scale of the IFI, with a single rate of 1%.

As for the sub-amendment of the socialist Philippe Brun, tabled at the beginning of the evening, it excludes from the base one property per tax household, within the limit of a reduction of one million euros. However, a close amendment had been tabled by the National Rally, excluding the main or sole residence from the base, in accordance with its proposal for a Financial Wealth Tax (IFF). In a press release, the RN welcomed the adoption of a “tax on financial fortune inspired by Marine Le Pen’s program.

Adopted via a heterogeneous alliance bringing together RN, PS, MoDem deputies and deputies from the centrist Liot group, the adopted amendment sowed disorder in the corridors of the Bourbon palace. “The socialists are happy about it!” exclaimed Philippe Juvin in the hemicycle, rejoicing at the fact that “the National Assembly has just reestablished the wealth tax”, in reference to the tax abolished in 2018 under the leadership of Emmanuel Macron, then newly elected President of the Republic.

But in the Insoumis camp, there is no question of considering that it is an ISF. Through the voice of MP Eric Coquerel, LFI criticized, on the contrary, that this was a “weakened real estate wealth tax”, denouncing in particular the exclusion from the basis of the main residence. With the exception of the PS,The left overwhelmingly voted against the amendment.

Renaissance MP Prisca Thévenot, for her part, considered that what had been voted on was “a tax invented by Marine Le Pen herself” and in no case the return of the ISF, “otherwise (…) rebellious France would have voted for it”, she declared. Horizons MP Sylvain Berrios criticized a measure that will “tax the savings of the French”.