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Home » Retirement: The tax reduction of 10% threatened, will you pay more tax this year?
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Retirement: The tax reduction of 10% threatened, will you pay more tax this year?

By News Room14 April 20253 Mins Read
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Retirement: The tax reduction of 10% threatened, will you pay more tax this year?
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The MEDEF pleads for the abolition of the tax reduction dedicated to retirement pensions. While the start of the 2025 income declaration has just been launched, will you still take advantage of this this year?

© Capital / Freepik illustration

– The tax advantage of retirees is on the hot seat.


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The clouds accumulate on the heads of retirees. While the Court of Auditors recently recommended put an end to the indexing of their pensions On inflation, another danger, fiscal, awaits them. After the Board of Compulsory Drawings (CPO) – attached to the Court of Auditors – Last October, it was the presidents of the Pension Orientation Council (COR), Gilbert CE, and Medef, Patrick Martin, who asked for the abolition of the tax reduction of 10% for retirees. The key, around 4.5 billion euros in savings at the expense of around 14.84 million households which benefited from this advantage in 2024. A windfall that could logically interest the government, the latter having announced Sunday April 13, by the voice of the Minister of Economy and Finance, Eric Lombard, “A additional effort of 40 billion euros»» For 2026.

If retirees can therefore fear for their reduction, they will therefore not be deprived of them immediately. What confirmed to Capitalon the sidelines of the launch of the campaign of the 2025 income declaration, the Minister of Public Accounts Amélie de Montchalin: “This is a subject of a finance bill for 2026”, The tenant of Bercy referring the ball to the social partners, employers and unions – Opposed to this measurement – Gathered as part of the “Conclave” aimed at improving pension reform. If removal of the tax advantage of retirees, there must therefore be, it should be voted by the Parliament as part of the budget examination for 2026, next fall, for an application as soon as possible on January 1, 2026.

A maximum reduction of 4,399 euros in 2025

For the income declaration open since April 10, no change. As a reminder, this 10% tax reduction applies to different pensions, pensions and annuities collected by taxpayers, as well as disability pensions or perceived alimony. L’Retired income tax is thus calculated on 90% of this income. This year, the 10% reduction on the total pensions cannot exceed 4,399 euros per tax household (a retired couple for example) or be less than 450 euros per taxpayer, unless the total of their pensions does not reach this amount. The tax advantage “Can reach up to 1,855 euros per year For households located in the highest taxation tranche (45%, editor’s note) ”calculated the Board of compulsory levies in October 2024.

>> Our service – Compare the performance of retirement savings plans (PER) thanks to our simulator

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