Budget 2027: MPs reject the surtax on large companies

On October 27, deputies voted to remove the extension of the surtax on large companies' profits from the 2027 budget, a decision likely to be reversed. The government may resort to using article 49.3 or ordinances to reintroduce the measure. The surtax, initially created for 2025, targets companies with revenues over 1.5 billion euros and was expected to yield 5 billion euros in 2027. Business groups criticized the surtax, arguing it undermines investor confidence. Meanwhile, an amendment to tax multinationals based on their global profits was also passed, despite government opposition, but is expected to be removed from the final budget.