Policy. "Not in the Final Budget": Montchalin Burys the Proposal for Vat Reform of Auto-Entrepreneurs
12 Articles
12 Articles
As the Assembly and the Senate challenged this choice, the Minister of Public Accounts decided to remove the bill to lower the VAT exemption threshold for micro-enterprises.
While the draft budget for 2026 envisaged lowering the threshold of annual turnover below which micro-enterprises are exempt from VAT, the government finally endorsed the abolition of its reform proposal, announced Amélie de Montchalin.
The draft budget for 2026 provided for lowering the threshold of annual turnover below which micro-enterprises are exempt from VAT.
"And in the Assembly and in the Senate, it has been said that this was not a good idea (...) There is a compromise because obviously our idea of reform is not good, I take note of it," said Amélie de Montchalin, Minister of Public Accounts, on Monday about the proposal to reform VAT for self-entrepreneurs.
While MPs and senators have to vote on the special law to continue the review of the budget next year, the Minister of Public Accounts, Amélie de Montchalin, announced that the government is burying the VAT reform for self-entrepreneurs.
At the end of December 2025, in the midst of the discussion of the 2026 finance bill, the executive decided to abandon the reform of the VAT thresholds applicable to self-employed entrepreneurs. The reform of VAT was carried out by the Ministry responsible for Public Accounts and was intended to radically change the basic rules of exemption. It was finally rejected after a net rejection in Parliament. The VAT reform of officially abandoned self-…
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