Below the threshold of 5% of votes which guarantees the lump sum reimbursement of campaign costs (just over €8 million), Valérie Pécresse (Les Républicains) with 4.78% of the votes, and Yannick Jadot (Europe Ecologie-Les Verts ) with 4.63%, have already called for donations from their constituents to complete the financing of their campaigns.
The first has a debt of 7 million euros to honor, including 5 million personal loan. The second must for his part find 2 million euros. Critical financial situations that the candidates will have to rebalance by next month, before filing their campaign accounts with the Constitutional Council in June.
If you wish to respond to these appeals for donations, be aware that French law provides for a tax reduction for the payment of donations intended for the financing of an electoral campaign. Outside the electoral context, the reduction also applies to sums paid for the benefit of a political party or group.
For donations in support of the financing of an election campaign, the tax reduction is valid for all candidates registered for the election, regardless of their results. These donations can therefore be sent to one or more of the twelve opponents in the running in the 1st round of the presidential election.
A tax reduction of 66% of the sums paid
The tax benefit entitles you to an income tax reduction of up to 66% of the sums paid, but it is of course capped. Donations cannot exceed €4,600 per electionand €15,000 per year and per tax household for donations and contributions paid to political parties and groups.
A carryforward surplus for five years
The tax benefit is limited to 20% of his taxable income. When the amount of the donations exceeds this limit of 20%, the excess is carried over to the following five years and gives rise to the right to the tax reduction under the same conditions, with the exception of the part of the donations exceeding €15,000 which does not is not reportable.
In the event of new payments, the surplus carried forward gives rise to the right to the tax reduction before the payments for the year. It should be noted that the administration will retain in priority the oldest surpluses.
On the side of the terms of payment of the sums, cash donations are prohibited from an amount greater than €150, and must imperatively be carried out definitively and without consideration », by cheque, bank transfer, direct debit or bank card.
How to declare your donations to the administration?
Donations made this year must be declared in 2023 as part of your 2022 income. Keep your payment receipts. These receipts must correspond to a cerfa model (n°11580) available online. They may be claimed from you in the event of a tax audit.
If you made such payments in 2021, they must be reported on your 2022 tax return, the campaign for which has just opened.
Donations made by a person for the financing of the electoral campaign of one or more candidates must be declared line 7UF of return 2042.
The amount of donations and contributions paid to political parties or groups must be declared line 7UH of the 2042 RICI declaration.