If your income has increased less than inflation in 2022, you will pay less tax – BFM Business

According to Bercy estimates, the indexation of the income tax scale to inflation should be around 5%. Taxpayers, whose purchasing power has been reduced by the rise in prices, should therefore see their taxes fall. This morning on BFMTV, Bruno Le Maire confirmed that the income tax scale would be significantly revised this year upwards to match rising prices. There is no question of going back on the rule of indexation of the thresholds applicable to the five income tax brackets, as some seemed to fear. The non-indexation in 2011 and 2012 had the effect of increase the number of taxable households over the following two years, arousing surprise and anger among taxpayers accustomed to not paying income tax (IR). This effect would have been even greater next year given the level of l ‘inflation. Let’s take the case of a childless couple of employees paid at minimum wage. Paul touches a thirteenth month, but not Marie. The couple’s income declared this year thus reached 30,899 euros. Without indexation, a couple paid the minimum wage would have been asked to pay 69 euros in tax. have nothing to pay to the tax authorities, since they have no other income. They are below the threshold from which a childless couple pays the IR. Next year, given the progressive revaluations of the Smic (+5.9% between May 2021 and May 2022) they should declare 1387 euros more , an increase in their income of 4.5%. Without the indexation of the scale, they would be subject to income tax (IR) and would have to pay 69 euros to the tax authorities, while their income will not have increased faster than inflation. But with indexation, they will remain non-taxable. Without indexation, a taxpayer could have lost purchasing power and paid more tax. taxpayers who pay the IR. Take the case of Catherine, a divorced retiree, who last year received 1,500 euros in basic pension and 692 euros in supplementary pension. Total income for the year 2021: 26,300 euros. If she has no other income, the amount of her tax rises, according to the official simulator, to 1088 euros. With the double revaluation of the pension paid by social security (+ 1.1% on January 1 and +4% on July 1), and without an increase before the end of the year in her supplementary pension, managed by the social partners, she will have received 627 euros more this year than in 2021, an increase of its income by 2.4%. However, without indexation of the scale, this retiree would have seen her income tax increase to 1249 euros, i.e. nearly 15% more while her purchasing power will have fallen. Any taxpayer whose income will have increased by less than 5 %With the 5% indexation that the tax authorities provide for the moment, this same taxpayer will on the contrary see his taxes drop slightly since the increase in his income will have been twice as low. And more generally, all employees, liberal professions, craftsmen, retirees whose income will have increased by less than 5% this year will make the same observation. Bercy also expects a shortfall of several hundred million euros.