Income tax and local taxes may be subject to a free rebate. But what are the conditions to be met to benefit from it?
Do you have financial difficulties? Can’t pay your taxes? The free discount allows the French people to break the deadlock each year. How does a free rebate request work? Who can benefit from this procedure? How to apply? Is it really possible to obtain a reduction, or even a cancellation, of one’s taxes? Our explanations.
Is the free discount valid for all taxes?
Thanks to a request for graceful remission of the tax, the taxpayers can obtain a moderation or a total exemption from their taxes. Only so-called direct taxes are concerned: income tax, housing tax (on secondary residences), property tax and late payment penalties linked to one or other of these taxes.
On the other hand, the tax on real estate assets, registration fees and inheritance taxes are not eligible for a free rebate.
Who can benefit from a graceful reduction of their taxes?
Total or partial exemption from tax is granted by the tax authorities and may concern all natural persons who request it and who experience financial difficulties or whose personal or professional situation has changed. The main reasons justifying a request for a graceful discount are the following: unexpected loss of work, life events (illness, death of spouse, separation, etc.)the delay in the date of payment of taxes, an amount of tax that is too high in view of the income (for example following a reminder or the accumulation of delays).
The reasons mentioned above alone do not allow you to automatically obtain a tax reduction or exemption. In effect, each request for a free discount is the subject of an individual study by an employee of the tax administration. The analysis then bears on the entirety of the applicant’s situation: his income, his expenses, his marital situation, his assets, his tax history, etc.
Response time
The maximum delay for a response to a request for a graceful remittance is 2 months. If no response is received within 2 months, the request is considered rejected. The period can be extended up to 4 months if the complexity of the request justifies it. The administration must then inform you of this additional period within 2 months.
How to formulate the request for reduction or cancellation of its taxes?
In most cases, it is necessary to contact the Center des Finances Publiques where the place of taxation of the tax household is located. As part of a free rebate request, no particular format is required.. The request can be made orally or in writing, the latter form being recommended. The file must contain the elements necessary for the analysis. Do not hesitate to add supporting documents (payslips, account statements, etc.) to support your request. Attaching Form 4805-SD is also recommended.
Pay before the decision
Applying for a free rebate does not allow you to obtain a payment deadline. It is therefore necessary to pay the amount due pending the decision. If this is not possible, the tax administration is entitled to continue to demand payment and to continue its proceedings.