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LACK OF UNANIMOUS DECISION ON MATTER IS BEHIND THE DELAY, SAYS FINANCE MINISTER. IT MAY NOW NOT BE REVIEWED UNTIL THE NEXT 2026 BUDGET DEBATE A controversial change to the VAT thresholds for

self-employed people in France looks likely to be delayed until at least 2026, the Finance Minister Eric Lombard announced on April 31.  The draft 2025 budget included measures that would

greatly reduce the thresholds at which self-employed people would need to start charging VAT.  At present, self-employed (auto-entrepreneurs) workers are exempt from charging VAT until their

annual revenue reaches certain levels. The measure proposed in the draft finance bill for 2025 would have seen the VAT-exemption threshold dropped to a blanket level of €25,000 per year,

down from current levels of €37,500 (for most micro-entrepreneurs) and €85,000 for retailers. It faced criticism from across the political spectrum – including from members of the government

and former prime minister Gabriel Attal – leading to it being delayed until 1 June, 2025 and subject to further consultations. “We note that the proposed reform has not been met with

unanimous approval, either for or against,” said Mr Lombard in the Assemblée nationale today.  “The government has taken the decision to suspend the implementation of the reform and to allow

the debate to take place calmly in the context of the next Finance Bill [editor’s note, for the budget],” he added.  > TVA auto-entrepreneurs : "La réforme proposée (dans le budget

> 2025) ne fait pas l'unanimité", répond @Eric_R_Lombard. Le > gouvernement "a pris la décision de suspendre la mise en œuvre de > la réforme et de laisser le débat 

se tenir sereinement" dans le > budget 2026.#DirectAN #QAG pic.twitter.com/l3jvXKZZUT > — LCP (@LCP) April 30, 2025 MAY BE INCLUDED IN THIS AUTUMN’S BUDGET DISCUSSIONS It is

likely, therefore, to be discussed again from this coming autumn – the annual budget is usually put forward and debated in both political chambers in October or November, before being passed

in December, subject to approval.  If the measure is included in the autumn budget plans for 2026 and is passed by the Senate and Assemblée nationale without being removed, it will come

into force from 2026 onwards. This is far from a certainty however, with politicians across the spectrum against the measure, and the current government lacking a majority of MPs to force

through bills in parliament. The 2025 budget was an anomaly in that it was not passed until spring of that year. This was principally due to the vote of no confidence against previous prime

minister Michel Barnier which limited what could be included in the bill.  Current prime minister François Bayrou has recently echoed the comments of his Finance Minister and said that €40

billion worth of savings must be found in the 2026 budget.  It is unclear whether any tax increases will go towards this sum. Read more: Measures to increase tax on well-off retirees under

consideration for 2026 French budget