The government wishes to remove tax loopholes as part of the 2026 budget in an attempt to reduce the public deficit, which has widened to 5.8% of GDP in 2024. The Minister of Public Accounts Amélie de Montchalin assures “that it is not your age which must define your contribution”. © GetTy_IMAGES – The tax allowance for retirees was introduced in 1978. Safeguarding safeguarded Receive the government alerts The Minister of Public Accounts Amélie de Montchalin did not rule out the possibility of removing the tax allowance from which retirees benefit, believing that it is not your age which must define your contribution “, in Le Parisien. Retirees can, like assets, reduce their income by 10% at the time of their declaration, a possibility deemed “aberrant” by the Medef, which called for its abolition. Questioned by Le Parisien on the possibility of removing this abatement, Amélie de Montchalin indicated that, “within the framework of the conclave” on pensions, “social partners look at all subjects”, including “the advantages for retirees”. “I think, on a personal basis, that one cannot indefinitely put the assets to finance the new social expenses linked to aging.” advance. “It is not your age that must define your contribution, but also the means you have.” The government seeks to remove tax loopholes as part of the 2026 budget to try to reduce the public deficit, which has widened to 5.8% of the gross domestic product (GDP) in 2024. To read also: budget 2026: the government announces an effort of 40 billion euros, which will toast? An increase in the tax contribution of 8.4 million retirees? The tax allowance for retirees was introduced in 1978 with the aim of putting them on equally with the assets which also benefit from an automatic tax deduction of 10% of their income at the time of their declaration, for professional expenses. Remove the reduction in the income of retirees would lead for some the increase in their income tax and would make others, which are non-taxable today, become so. The president of the Pension Orientation Council (Cor), Gilbert this, said in January favorable to the abolition of this tax abatement, then joined by the president of Medef Patrick Martin, who deems him “absurd”. “That a retiree benefits from a tax exemption for professional expenses”, “for 4 billion and a half euros per year”, it is “unnatural” and “aberring”, according to the leader of the first organization. But for the UNSA-retired, “the 10% reduction applied to the taxation of retirees has nothing to do with the tax deduction for professional expenses” of assets, she wrote in a statement in March. Its abolition “would increase the fiscal contribution by 8.4 million retirees, or half of all retirees, and in this half, not all are rich,” added the UNSA-retired. Receive our latest news every day, selecting the main news of the day. (tagstotranslate) Government