In 2023, the implied tax subsidy rate on R&D expenditures for loss-making large firms in France stood at an indicative level, likely around or slightly below the 0.47 value that is forecasted for 2024. The forecasted figures for 2024 and 2025 remain stable at 0.47, indicating flat growth. A slight increase is observed from 2026 at 0.48, continuing to 0.49 by 2028. This demonstrates a modest year-on-year growth in subsidy rates from 2026 onwards. The Compound Annual Growth Rate (CAGR) over these years suggests a gradual but steady increase.
Future trends to watch for:
- Policy changes affecting R&D tax incentives.
- Economic conditions impacting large firms' R&D investments.
- Technological advancements that may influence government subsidy levels.
