The 2023 finance bill is still being examined by deputies. New measures have also been adopted in public session. Among them, the transformation of the reduction into a tax credit for accommodation expenses in Ehpad, the increase in the value of the restaurant ticket or the creation of a new status for the real estate investor.
The deputies are still immersed in the finance bill for 2023. Several amendments, directly linked to your finances, were adopted in public session. It should be noted that it is up to the government to include or not these amendments adopted, sometimes against its opinion, by the Assembly in the version of the finance bill that it should submit next week to the procedure of article 49.3 of the Constitution. It allows the adoption of a text without a vote, except motion of censure. Here is what might change for you.
The tax reduction for accommodation in Ehpad transformed into a tax credit
Until now, people domiciled in France for tax purposes have benefited from a tax reduction equal to 25% of expenses incurred, within the limit of 10,000 euros when they are accommodated in an Ehpad. The amendment adopted by the deputies changes the situation and converts this reduction into a tax credit. Thus, the system can now benefit non-taxable persons and the tax credit can be paid in the form of a check.
A tax revolution for landlords
It is an amendment adopted against the advice of the government which could be a game-changer for many donors. It provides that property income will no longer be subject to the income tax scale but to the single flat-rate levy (PFU). The flat tax at the single rate of 30% is made up of a 12.8% tax on income tax and 17.2% social security contributions. This amendment, in short, would allow owners with the highest tax brackets (up to 45%) to pay less tax on their rental income.
The amendment, which creates a new status for real estate investors, does however provide safeguards. For property income to be subject to the PFU, the landlord must meet the following conditions:
- the rent must be set in application and according to the ceilings of the Louer Affordable scheme;
- the energy category of the asset must be referenced from AD on the energy performance diagnosis;
- the lease must be granted for at least one year for residential use by persons with whom it does not have a relationship of parentage or affinity.
To benefit from this, the owner must choose this option when filing your annual income tax return. Moreover, this status does not allow you to benefit from other tax measures in favor of rental investment.
Tutoring classes eligible for tax credit
Remote tutoring courses could now be eligible for tax credit. Imposing physical travel on the teacher can generate both territorial inequalities (it is more difficult to find a specialized teacher in rural areas than in urban areas); an additional cost related to time and travel costs, but also is not always respectful of the environment if the distance is important, underline the authors of the amendment. Until now, only lessons given at the beneficiary’s residence were affected by the tax credit. During the Covid crisis, this system was extended to remote tutoring courses, delivered using digital tools. The amendment adopts take the device.
Restaurant tickets cost 13 euros
Deputy Charle de Courson had proposed an amendment so that the employer’s share exempt from tax on meal vouchers increased from 5.92 euros to 6.50 euros. The amendment adopted in public session would make it possible to pass the face value of the restaurant voucher from 11.84 euros 13 euros maximum.
Nobanques: the cheapest offers to control your budget
In addition, the deputies voted to extend the two tax advantages below.
The Madelin tax reduction renewed
The device IR-SMEalso called Madelin tax reduction, is extended until December 31, 2023. In return for an investment in the equity of small and medium-sized enterprises (SMEs), the taxpayer obtains a tax reduction of 25% of the amount invested. Like every year, this tax carrot will still have to be validated by the European Commission. The date of application of the measure is then set by decree.
One more year for the Malraux device
The amendment adopts extended for one year, i.e. until December 31, 2023, the Malraux tax reduction schemein favor of buildings located in a formerly degraded district or in a district with a high concentration of formerly degraded housing which must be the subject of a multi-annual agreement within the framework of the new national urban renewal programme.
The Malraux law allows, in exchange for the restoration of real estate in historic urban areas, to benefit from a tax reduction of up to 30% of work expenses (supervised by an architect from the Buildings of France).
The reduction over one year can thus reach 30000 euroswithin the limit of 100,000 euros of work retained and the owner must agree to rent the property for 9 years.
Tax exemption: all the devices to reduce your taxes