mayors want a tax of 1 euro on packages delivered at home

For each product bought online and delivered to the home, one euro of levy: this is the proposal made by David Lisnard, mayor of Cannes, who defended it last August in the columns of the newspaper The echoes. He was joined in his fight by the Association of Mayors of France last Friday, as well as by parliamentarians Benoît Potterie (LREM), Charles de Courson (UDI) and Bruno Retailleau (LR) Tuesday, according to the daily.

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He who is also vice-president of the Association of Mayors of France intends, with its project of "Fair Trade Local Taxation" (FCLE), restore fiscal equity between small businesses and web platforms. The amount generated by the taxation of items ordered on the internet and delivered to the home would lower the property tax applied to small traders, in order to promote a healthier competition between the two modes of sale.

Last August, David Lisnard explained his proposed amendment to the 2019 budget bill in the following way: the additional euro collected on online purchases would be transmitted by online merchants directly to the state, with exclusive destination communities. Thus, this tax would produce some 336 million euros in revenue that would make possible a 10% abatement on the property tax applied to businesses under 400 m². On the other hand, consumers who are delivered in points relay or post office would be exonerated of this additional euro.

"Excessive tax pressure"

Local shops suffer "a distortion of competition" in the face of e-commerce, says the Association of Mayors of France on its site, stating that it "does not contribute as much to the tax effort, weakens local jobs and consumes public space at the sole expense of the taxpayer ". A situation responsible for the "unfair competition of large shopping complexes and electronic commerce" towards small businesses. From 2001 to 2016, the commercial vacancy rate of city centers in France rose from 6.2% to 11.3%, accentuating an "excessive tax burden" on small retailers, the badociation develops. Far from wanting to "oppose the new modes of consumption", David Lisnard explains hoping "a more equitable commercial choice".

Already a tax on delivery

In April, the Senate had already proposed legislation to achieve a "National Pact for the Revitalization of Town Centers and Town Centers". Adopted last June, it was originally intended to tax the company based on the number of kilometers traveled by the goods ordered between its last storage location and the final delivery address. At the expense of the e-merchant, the amount of the tax was then set at 0.50 euro per kilometer. The proposal was eventually amended, and the law now provides that depending on the distance traveled during delivery, the company concerned will be taxed between 1 and 2% of the purchase price.

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While the government has pledged to lower the tax burden, the proposal of David Lisnard could be likely to cool the Prime Minister. The latter will receive the mayor of Cannes on November 20 to discuss the issue. "Only Matignon can make this very political decision," he told echoes.