arnault says this is not about taxes. he is doing this for personal reasons.e will remain a tax resident of france. that means that he'll keep paying the current french income tax of 44% and he'll also pay that 75% rate if it is approved. now he'd also pay the french current wealth ta, 1.8% of total assets. if he's not changing this for tax reasons, why is he doing it? i've spent a lot of time with french tax lawyers. i say he wants a way around the french exit tax. it is a new tax just passed 34.5% on total wealth of french citizens. if they decide to change their residence, they pay 34% of total wealth. arnault could avoid that income tax by becoming a belgian citizen, then changing his tax residency in a year or two. >> he could say that it is not over income tax and not be -- what's the french word for lying -- lying? >> in other words, it's not -- there's no tax break now to do this. but this could be a step toward doing this later. it's really this exit tax that no one's really written about that is the big one for him. because it's about his net worth.

in a tv interview hollande says arnault should show patriotism. >>> when we come back a week-long seriesh some of the most influential names in the sector, former chair of the fdic, sheila bair going to talk bank risks and much more, the chair bair is in the house and "squawk" will be right back. at optionsxpress we're all about options trading. we create easy-to-use, powerful trading tools for all. look at these streaming charts! they're totally customizable and they let you visualize what might happen next. that's genius! we knew you needed a platform that could really help you elevate your trading. so we built it. chances of making this? it's a lot easier to find out if a trade is potentially profitable. just use our trade & probability calculator and there it is. for all the reasons you trade options - from income to risk management to diversification - you'll have the tools to get it done. strategies. chains. positions. we put 'em all on one screen! could we make placing a trade any easier? mmmm...could we? around here, options are everything. yes mom, i'll place a long call to you

bernard arnault. he's applied to become a citizen of belgium.sons, but it now looks cheap by comparison to france. they are also looking to switzerland, singapore, and even new york. we may start to hear some french accents on the upper east side. >> a few more. we were just talking onset, maybe they just go to monaco. >> that's a big destination. it's increasingly expensive, but they are looking to singapore. and london, the british government said we're going to roll out the red carpet for the french wealthy, even though britain is considering new taxes on the rich. >> robert, 30,000 people, that's it? that's a rich country. aren't they already shielding their income? >> they it definitely are. compare that to the u.s., where we have 250,000 people who earn that. it leads many to say this is m symbolic. it was done for plit ral reasons than for revenue reasons. >> you may 75%, but you get to live in france, right? there is that. >> that gets to be a high cost for good baguettes. >> great stuff. thank its. >>> still to come, the league of black