Tax niches: the construction sector worried

Tax niches: the construction sector worried

Bercy returned its copy to finance the 5 billion euros in tax cuts for the middle classes. For non-road diesel, the tax niche will be planed as of next summer.

Tax niches: the construction sector worried

On many sites, the vehicles of construction companies run on off-road diesel. And the cost is significant: € 600,000 per year. But with the end of the tax benefit, the fuel bill could soar. “The increase that is envisaged by the government would bring this cost from 600,000 to 900,000 €, which represents 1% of turnover and therefore for us it is really a very sharp and very severe loss of margin.“, Explains Valérie Fiastre, CEO of EGA.

A total disappearance in 2022

This tax boost in favor of building and public works companies will be reduced by 45% from July 2020, to disappear completely in 2022. Government objective, savings of 900 million euros, by 2023. A measure which worries the building sector. “For our businesses, it is impossible to bear this tax increase at our own expense. In the end, it is the consumers, the end user who will have to pay the difference.“, Says Jacques Chanut, president of the French Building Federation (FFB).