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    franceecho
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    French Government's Tip Tax Sparks Fury in Hospitality Sector

    Paris, France - A new government decision to tax tips for restaurant employees, set to take effect in January 2026, has ignited a firestorm of criticism across France's hospitality sector. The move will end a tax exemption on tips, a benefit that has been in place since 2022, allowing restaurant staff to receive these additional earnings tax-free. The announcement has been met with strong reactions from both employees and employers. "It's inadmissible, it's shameful!" exclaimed one politician in a clip featured in the report, reflecting the widespread indignation. For many servers, tips are a crucial supplement to what are often described as meager salaries. The video highlights that 4 out of 10 restaurant employees are now considering leaving the profession due to the impending change. Restaurant owners are equally incensed. For some establishments, tips can account for a significant portion of an employee's monthly income, reportedly up to 800. This substantial contribution to earnings means that the new tax could severely impact the financial well-being of workers and the operational costs for businesses. Union representatives have voiced their concerns. The CGT and CFDT fear that employers might use this "fiscal blow" as an excuse to reduce salary increases. In contrast, Force Ouvrière is reportedly pushing for the current tax-exempt status to be maintained. The French restaurant industry is now described as being on "red alert" as it grapples with the potential consequences of this policy.

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    Maison & Travaux
    one month ago

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    one month ago
    MA
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