{"id":393217,"date":"2025-10-14T10:06:39","date_gmt":"2025-10-14T08:06:39","guid":{"rendered":"https:\/\/group-gac.com\/?p=393217"},"modified":"2025-10-21T16:40:10","modified_gmt":"2025-10-21T14:40:10","slug":"fiscalite-innovation-et-competitivite-quel-avenir-pour-lindustrie-francaise","status":"publish","type":"post","link":"https:\/\/group-gac.com\/en\/taxation-innovation-and-competitiveness-what-future-for-french-industry\/","title":{"rendered":"Taxation, innovation and competitiveness: what does the future hold for French industry?"},"content":{"rendered":"
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Context: a report by the Council on Compulsory Levies to inform industrial policy<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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The report \u00abEstablishing a multi-year fiscal and social framework for French industry\u00bb was produced by the Council on Compulsory Levies (CPO), a body associated with the Court of Auditors, at the request of the Government and Parliament.<\/p>

This study is part of the CPO's remit, which includes: analyze the evolution and economic, social, and budgetary impact of fiscal and social policies<\/strong>.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t

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Objectives: an assessment of the tax framework for French industry<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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The main purpose of this report is to establish a conduct an in-depth assessment of the current tax framework affecting French industry, measuring its impact on competitiveness, innovation capacity, and reindustrialization momentum<\/strong>, as well as proposing guidelines for a more transparent and effective multi-year trajectory.<\/p>

The CPO's work is based on hearings with economic and institutional stakeholders, analysis of national and European data, and a detailed assessment of the main tax measures related to research, innovation, and industrial investment<\/strong>.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t

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Observation: significant fiscal effort, but room for improvement in terms of innovation<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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The report highlights that France devotes significant fiscal resources to supporting research and innovation, with the total cost of the main measures (Research Tax Credit (CIR), Innovation Tax Credit (CII), Young Innovative Companies (JEI) status, IP Box, which exceeds \u20ac9 billion per year<\/strong>.<\/p>

However, the effectiveness of these measures is considered insufficient<\/strong>, particularly due to significant windfall effects. The CIR, which accounts for approximately 80% of tax expenditures in this area, mainly benefits large companies<\/strong>, while SMEs and mid-sized companies, which are more inclined to innovate, benefit less from it.<\/p>

Furthermore, the mechanism often encourages spending that does not necessarily generate truly disruptive innovations<\/strong>. The report also highlights problems with targeting and the occasional misuse of the measures, such as excessive use of approved subcontracting under the CIR<\/strong>.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t

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CPO recommendations: towards a more transparent and innovation-oriented tax system<\/h2>\t\t\t\t<\/div>\n\t\t\t\t
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Research Tax Credit (CIR<\/u>)<\/a><\/h3>\t\t\t\t<\/div>\n\t\t\t\t
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