France’s Finance Minister, Antoine Armand on Wednesday said there will be an increment in tax for the extremely high incomes and very large companies will also be asked to pay higher taxes.

Armand who made this known explained that the hike in tax is required to bring the country’s finances back on track which will be targeted at high-income groups and limited in time, low- and middle-earners would be spared from the extra fiscal burden.

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New Telegraph reports that France is looking to improve its financial situation by some 40 billion euros ($44 billion) next year in the hope of bringing the public sector deficit to five per cent of gross domestic product (GDP) from an estimated more than six per cent this year.

Prime Minister Michel Barnier also pledged to tackle France’s colossal debt through spending cuts and new taxes.

Armand noted, “Once we have managed to cut spending significantly, an exceptional and temporary effort will be required from those with extremely high incomes, Income tax brackets for those who go to work every day would not change, Large and very large companies will also be asked to pay higher taxes, such an extra burden lasting for several years.”