World News for Students of English

30-09-2025 15:00

The debate over the “Zucman tax” in France reflects wider European questions about how much the ultra-rich should contribute.

The plan, proposed by economist Gabriel Zucman, calls for a 2% annual levy on fortunes exceeding 100 million euros, affecting approximately 1,800 individuals in France. Supporters argue it would promote tax justice and provide much-needed funds for security, defence, and healthcare. Estimates suggest it could raise 20 billion euros in France and 67 billion euros across the EU. Critics say the figures are unrealistic, warning that the tax may bring far less revenue. They also fear reduced business investment and possible “tax exile,” although data shows few wealthy people actually leave their country after tax hikes.

Other nations like Spain, Norway, and Switzerland already tax wealth, with mixed results. France itself abolished its wealth tax in 2018, keeping only a real estate tax. The issue continues to spark controversy as governments search for ways to balance budgets.

Difficult words: levy (a special tax), justice (when things are fair), revenue (money that a government or company gets), tax exile (when a person or company leaves their country to pay less tax or no tax).

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