I am deeply troubled by the French political attitude, which is, as usual, characterized by an exaggerated concern for political correctness (which indicates fear), mixed with self-importance. Almost the entire French political spectrum promotes inaction and lacks determination in front of the financial black hole which is going to ruin the lives of at least two generations of Frenchmen. This almost lack of reaction as regards deficits, compared to the substantial measures taken by all the states surrounding us will put us de facto in a situation in which France will be attempting to recover on its own, somehow like in 1981… with the success that is known.

Everybody complains about our inability to make reforms. But aren’t politicians the ones to show us the way? Don’t they have in their hands, when all European nations are tackling the problem directly, the opportunity to tell the French people that if we lack determination we are really bound for a catastrophe?

First, we had an omniscient generation which owned the future, then its children, who were educated at the “HEC” School of Management, at the “ENA” (National School of Administration) or at “Sciences Po” (Political Science University)… all these brilliant people who are proud of their parents haven’t seen anything, surrounded as they were in their soap bubble, occupied with making it grow… It is them that I am speaking to!

“We are sick and tired of your mistakes and your conservatism. I demand to be told the truth and I want the other French people to hear it, as well.

Personally, I have the means to react. If I add up taxes and other deductions, you have demanded almost 65% of my gross revenue during these last two years, and I accepted it of my own free will, even though I have been spending more than 183 days a year outside France for a long time! But, considering the risks that the economy, and even French society, is faced with, due to the lack of reaction, I have decided to no longer pay and to expatriate my personal income, to match my personal tax practices with the reality of my agenda and my interests.

In fact, our company declares in France more than 50% of its global income and it is here that it willingly subjects it to tax at more than 35%, which is the highest tax level in Europe to date. If we were to take the activity into account… only 10% would be declared. This is also a deliberate choice. I am worried by the state’s lack of reaction to the crisis. What is it going to pull hastily out of the hat when it is too late? Our company needs capital in order to develop. The best way to finance investment is through profit. The choices that we have made both personally and as a company cannot face so many uncertainties. We cannot be a state which already has the highest level of taxes and professes COLLECTIVE and DELIBERATE blindness for the future. Due to the lack of a precise discourse and a detailed programme, it is as if everything were all right, fueling the companies’ fear.

Therefore, as a first step, I am going to give up the strange choice I have made until now and I am going to become a resident of the European state in which I spend most of my time. Thus, I am going to reduce my tax ratio by 50%, waiting to see what measures my country is REALLY going to take. This is serious.

But what are we going to do afterwards as regards our choices concerning company tax? Indeed, we have offices in Germany, where company tax has been reduced to 25%, in Romania, where it is 16%. In Israel, where we have just opened an office, it has just decreased to 25%. Pentalog doesn’t make more than 50% of its sales in France and only 5-10% of its production is done here. It has complete freedom in the field and its loyalty has been constant until now, but it needs a credible and reasonable state which would enable it to flourish.

“More justice” are words that send chills up the spine of all those who enjoy even the slightest amount of success and who already support 80% of the direct French taxation. Dear politicians, allow me to suggest that you should tackle all the injustices that you have created from scratch, the famous niches that you have arranged for your dear families and for placing their inheritance, often in outrageous real estate tax fantasies. A modern state that wants to have a future must begin by taxing inheritance and annuities and by exempting work and creation. Inheritance is an iniquitous transmission of wealth from one generation to another. Some people were born in well-to-do families, while others were not. Does this sound like a republican idea? Inheritance in France is nevertheless less taxed than in the USA! As regards annuities, they are an exploitation of the wealth created in the past which make no contribution to the nation’s destiny. Tax them! But stop disdaining the work and the creation of new wealth like you are doing now! Do you know that French software R&D is less developed than the one in Israel? We are sixty million inhabitants against six, but all you are doing is use nice words about the economy of knowledge and the research tax credit! Aren’t you asking yourselves why?

Apparently, 3,000 people leave the country each year. That is 3001 including me and maybe 3002 including Pentalog. If this only lasts a few years, it will “only” amount to a few million euros, which is insignificant compared to the gap created by a political generation and its clientele… but now I am quibbling.