Interesting policy idea

Yet other candidates are making hay with a message of a greater assault on wealth. “Greed must be done away with for virtue,” Jean-Luc Mélenchon, the far-left candidate, has exhorted, campaigning on a platform that includes a 100 per cent top rate of income tax, for those earning more than €360,000 a year.

I think we can work out how well that would work, no?

And as for Ritchie’s wealth tax:

The wealth tax costs France more than it yields, says Eric Pichet, a professor of economics at finance at Kedge Business School, who calculates that the country loses €5bn in tax revenues each year because of people who leave to avoid paying the tax.

34 comments on “Interesting policy idea

  1. “Greed must be done away with for virtue,”

    There was another far-Left Frenchman who talked a lot about virtue, Robespierre I think his name was.

  2. The worst thing about the wealth tax is that you have to allow some jobsworth tax inspector into your house to count up all your possessions (happened to my father, to my utter disbelief). I’m glad I don’t live there because there is a chance it would have ended badly for him. And for me afterwards.

    As John Price says, the “French revolution” never really happened.

  3. I thoroughly approve of French proposals for a 100% rate of tax and indeed can only suggest that it does not go far enough, why stop at 100%? Why not 500% or 1,000,000%? Surely if there is virtue in taxation then the more the better?

    The reality here being that these leftist swine are trying to get elected and know that threats of usurious levels of taxation play well in the cheap seats and particularly among the champagne socialists.

    The fact that such levels of taxation have no effect other than to drive the very wealthy out of France is irrelevant.

    Given that France is and remains our greatest enemy and a clear and present danger, anything which brings the French state closer to collapse is to be encouraged.

    N’interrompez jamais un ennemi qui est en train de faire une erreur.

    Napoléon Bonaparte

  4. for Ritchie proof of its failure will be greeted as the Left has greeted the immiseration and ruin of Venezuela – “it’s not [what I am proposing] because it didn’t work – therefore it was not ‘proper’ [socialism/communism/taxation/whatever] and the solution is to do the same thing all over again but harder this time”

  5. Who would buy high value assets held by someone of wealth? Poor people? Museums? Or other people with wealth?

  6. Le Président earns €180,000. No surprise that this candidate’s proposed threshold for swingeing taxes is twice that. I’d have some respect for him if he set the threshold at a level where he’d feel it; say €150,000.

  7. +1 Robert

    It’s quite simple Flatcap Army: 1. Socialism works 2. Venezuela did not work. QED Venezuela was not socialism.

    Next time try harder and use more gulags.

  8. still far too early to say whether the French Revolution has been a success.

    It’s too good a tale to disappear, but it’s now widely recognised that in responding “It is too early to say” to Nixon’s question about the effects of the French Revolution, Zhou Enlai had in mind the student revolts of 1968 rather than 1789.

  9. +1 to John Galt
    Footballers have long been expected to give 110%, there’s no reason taxes on high earners cannot go to such levels.

  10. Footballers have long been expected to give 110%, there’s no reason taxes on high earners cannot go to such levels.

    Indeed, levels of UK taxation were ratcheted up during wartime (both WWI and WWII) and only slightly modified after the wars were ended despite the economic consequences of such idiocy.

    The highest rate of income tax peaked in the Second World War at 99.25%. It was then slightly reduced and was around 90% through the 1950s and 60s.

    In 1971 the top rate of income tax on earned income was cut to 75%. A surcharge of 15% kept the top rate on investment income at 90%.

    In 1974 the cut was partly reversed and the top rate on earned income was raised to 83%.

    With the investment income surcharge this raised the top rate on investment income to 98%, the highest permanent rate since the war. This applied to incomes over £20,000 (£187,970 as of 2015).

    In 1974 750,000 people were liable to pay the top-rate of income tax.

    Anyone subject to such rates of taxation with the ability to do so moved elsewhere, indeed they would have been foolish not to.

    Indeed I suspect that the only reason that Labour did not ramp up tax levels above 50% was that doing so would have denuded the Premiership playing fields of their foreign players and even Gordon Brown feared the mob if their “Bread and Circuses” were denied.

    While it was Denis Healey who is remembered for his misquote about “taxing the rich until the pips squeak” he was not the worst offender.

    While Healey is often remembered as the villain of the piece, it was Roy Jenkins who raised taxes on income to an all-time record of 136 per cent.

    These penal rates were imposed on high earners during the 1968 economic crisis as a special income tax levy for one year only on “unearned income” or savings and investment returns.

    John Whiting, a partner in accountants Price Waterhouse Coopers, said: “It meant a person with investment income of more than £6,000 would pay tax of 20 shillings and nine pence – or £1.04 today – for every £1 of income, while someone with investment income above £15,000 would pay total taxes of 27 shillings and three pence or £1.36 on every £1.”

    It isn’t just the French who have their share of socialist idiots, the current shadow Chancellor John McDonnell has exactly the same mindset, but fortunately has little chance of ever living at 11 Downing Street.

    Thank god for small mercies.

  11. Monoi
    Melenchon is advancing in the polls, though.

    And, when the taxman comes round to assess you for the “solidarity” tax he does have the grace to give you fair warning to hire a garage for a week to store the Rembrants. And he does look sheepish as he peers into your bathroom.

  12. bloke in france – “Melenchon is advancing in the polls, though”

    Is he? Really? Can we trust them? The polls have got a lot wrong lately.

    I liked this article (which largely rips off Tim N’s blog):

    https://ombreolivier.liberty.me/french-elections-poster-wars/

    But go down to the end where he produces a graph from the BBC. Which is a great example of burying the lede. Because look at the strength of what the BBC calls the Far Right. Admittedly fewer people are going to the FN site than to Melenchon’s, but over all the Right is much stronger on the interwebs thing than the Left.

    That suggests that Le Pen may actually do it. I would be extremely surprised if she did, but if someone offers good odds, I say take that bet.

  13. The reality here being that these leftist swine are trying to get elected and know that threats of usurious levels of taxation play well in the cheap seats and particularly among the champagne socialists.

    Are there still sans-coulottes in Paris? Or are they all wearing Arab dress now?

  14. Anecdata – I am told by friends that M. Melenchon actually has an income of about 36000 euros per month from a combination of sources….

  15. Um, apart from driving the wealthy and wealth away, isn’t a tax of 100% shooting yourself in the foot, in tax revenue terms? If you are paid over the limit for tax won’t most people just agree to be paid a salary at the limit, because it makes no difference to them? Thus reducing the tax revenue to zero for the high earners? And as high earners pay a hugely disproportionate amount of all income tax, the tax take would drop massively?

  16. Marine le Pen is left wing. Read her policies. Same as the BNP – banging on about renationalising everything and being called right wing!

  17. That suggests that Le Pen may actually do it. I would be extremely surprised if she did, but if someone offers good odds, I say take that bet.

    To call Marine Le Pen “of the right” is a joke that could only apply to France, she follows the same policies that would continue to destroy France, the only difference is that she is prepared to engage upon the matter of the Islamic hordes while her opponents are not, simply standing back and sneering “Raciste!”.

    The man on the Paris Métro though is not quite so convinced and the repeated attacks by not-all-that-radical Islam have worn away much of the public façade of tolerance that “liberté, égalité, fraternité” implies.

    The French have always been accepting of foreigners only as far as they “speak like we do, eat like we do and think like we do”, thus this Islamic hordes in the banlieues that have become little more than muslim ghettos disgust the average Parisian as much as most here.

    The goodies on offer by the Presidential candidates are much the same, after all who would take away from the French electorate that to which they have become accustomed? Only a fool would do that and Marine Le Pen is many things, but a fool she is not.

    If she gets elected it will not be because the French are rejecting their elite, it is because they know that the Muslim hordes are damaging the French way of life and that something must be done.

  18. Hollande had to abandon his 75% tax rate after 2 years because surprisingly enough, it costs more than it brought in.

    So mechancon just proves once more, as per Einstein definition, that he is just that, a nasty cnut.

  19. As said above, Le pen, unlike her father, is no classic liberal in terms of economics.

    What distinguishes her from the others is the muslim problem and wanting to get out of the euro.

    If she is in the 2nd round, expect massive demonstrations against her shouting “le fascism ne passera pas” (because communism or socialism is fine and dandy).

    She won’t go through this time.

  20. John Galt – “To call Marine Le Pen “of the right” is a joke that could only apply to France, she follows the same policies that would continue to destroy France”

    She says she will continue with the welfare state. Well, this is not the issue that matters. Because France is being destroyed faster by immigration and feral-breeding than it is by welfare. She promises to do something to make sure France remains French. That is vital and if she lost it would be a disaster on the order of losing the Battle of Tours.

    “If she gets elected it will not be because the French are rejecting their elite, it is because they know that the Muslim hordes are damaging the French way of life and that something must be done.”

    Like the rest of the Western elite, the French elite has bought into the hatred of the White race and the Western tradition which means they can’t wait to flood France with people from the DirtWorld. When she insists that France remain French, she is rejecting their elites.

  21. “Anyone subject to such rates of taxation with the ability to do so moved elsewhere, indeed they would have been foolish not to.”

    And they did, it was called the brain drain as the brightest and best fled the country not only taking their wealth but their ideas, entrepreneurship and hard work with them.

  22. The frogs put up municipal graffiti boards so candidates can put up posters.
    Normally, the posters are defaced.
    This time round, they’ve put up the boards but no one round my way has bothered to put up a poster, let alone deface it.

    So Macron it is.

  23. Removing yourself from such a jurisdiction is not merely sensible; it is morally obligatory.

  24. @BiND

    True – but when the 98%* tax rate was in force, the amount of sterling that could(legally) be taken out of the country was severely restricted (?£50 on any one trip).

    * Actually, unearned income was taxed at a marginal rate of 19/8 in the £. For those not old enough to remember £sd, that meant for every £60 of ‘unearned’ income, the state took £59.

  25. “the amount of sterling that could(legally) be taken out of the country was severely restricted (?£50 on any one trip).”

    That reminds me of the days when I had somehow accumulated more Deutschmarks than I was allowed to own. I had no idea how I’d done it: I had opened my sock drawer and there they were. I gave half to my girlfriend, which we assumed made them legal again. Stupid, stupid times.

  26. Chris,

    Fair point. The brain drain was those at the start of the careers who looked at what would happen if they were successful and thought “fuck that for a game of soldiers”. The really wealthy had already found a way to get their wealth out.

  27. Yes, BiND – if you’re going to impose kamikaze tax rates, you need to have a way of stopping people taking their dosh elsewhere (or, at least, making it more difficult for them to do so). Hollande couldn’t do that with euros, so his big tax hike failed. One of the reasons 500€ notes are being withdrawn is to make it harder to transport your ‘black’ wealth out of reach of the taxman.

  28. I don’t think the Muslim hoards are interested in moving to the UK. I think they are interested in moving whichever part of Islamistan it is they come from to a country with better infrastructure and more moderate weather. We should fight hard to ensure they do not bring it here.

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