Is the lifetime retirement savings plan over? An amendment defended by the socialist group proposes forcing savers to liquidate their PER once they reach retirement age. It was adopted during the committee’s consideration of the finance bill. The reason behind this proposal is simple: “It is an amendment that aims to put an end to what is today a massive tool of fiscal optimization,” declared socialist deputy Philippe Brun. In fact, money placed in a retirement savings plan is completely exempt from taxes in the event of the saver’s death.
“You cannot disburse and therefore not dissolve your PER while you are retired. This, when you die, is transmitted to your children without any type of tax,” he explains.
Two reports point out the tax advantage
It is true that the amendment was approved in committee, but for it to come into force it will need to be re-examined and voted on in plenary, as well as the entire budget text. A year ago, a parliamentary report drafted by deputies Charles de Courson (Liot) and Félicie Gérard (Horizons) already recommended ending this tax advantage. At the same time, another report, this time from the Court of Auditors, highlighted the State’s deficit.
The PER was established by the Pacte law of 2019 and aimed to unify the funded retirement systems (PERP, PERCO, article 83, Madelin). The fiscal framework is encouraging, as the amounts paid already benefit from a tax reduction. According to the explanatory memorandum, the sums saved currently represent “125.7 billion euros for 11.6 million holders, that is, an average annual growth rate of outstanding balances since 2020 of more than 60%.”
Source: BFM TV
