France’s richest man seeks Belgian citizenship

Luxury group LVMH CEO Bernard Arnault (AFP Photo)

Bernard Arnault, France’s richest man with a net worth estimated at US$41 billion, has applied for Belgian citizenship – citing personal and business reasons and maintains this has nothing to do with François Hollande’s 75 per cent tax hike on the super-rich.

As the Belgian authorities evaluate Arnault’s request to determine whether or not he has demonstrable “real ties” to Belgium, it stands to reason that Arnault would wish to seek shelter under Belgium’s 50 per cent tax rate. 

Arnault insisted on Saturday that he was not becoming Belgian to dodge tax.

“Contrary to information published today, Bernard Arnault clarifies that he is and will continue to be a fiscal resident of France. His possible acquisition of Belgian nationality will not change this situation or his determination to develop LVMH and create jobs in France,” He said.

While 50 per cent may seem a bit steep to many, it would in fact be significantly less than the 75 per cent tax rate for the super-rich that French President Francois Hollande trumpeted as a centerpiece of his election campaign last February. The new rate is set to come into effect next year, hiking taxes on anyone who makes more than 1 million euro per year.

- Rt.com