Some taxpayers in France to get advance tax credit payouts

Taxpayers in France who have previously benefited from certain tax credits can expect an advance payment to be paid into their bank accounts from tomorrow Friday January 15.

This will amount to 60% of certain recurrent expenses incurred in 2019 which gave rise to tax credits paid out last year, eg. relating to costs of paying a nanny or gardener, for childcare outside the home, or giving money to charity.

Tax reductions for dependency costs of nursing home residents, and reductions related to certain property investment schemes are also concerned.

The credits are actually for 2020 income and tax offices base the advance payments on expenses incurred in 2019 as full 2020 incomes are not known until after declaration this spring.

There is a regularisation this autumn, once the full picture is established from the spring 2021 declarations. This could result in further money being paid out or a possible refund required if you did not in fact have such expenses - or to the same level - last year.

The money is paid directly into your bank account.