Taxation

Tax credits: how to change your advance?

Publié le null - Directorate for Legal and Administrative Information (Prime Minister)

Do you employ a home help for housekeeping or childcare? Do you donate or contribute to the union? You are eligible for income tax credits and receive an advance of 60% of the amount in January each year. Do you know that you can reduce or eliminate it to avoid having to pay it back if your expenses have decreased in 2022? Public-Service explains.

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Until December 14, 2022, the tax administration allows you to adjust or even refuse the 60% advance on your tax credit in January 2023 and thus avoid having to repay any overpayment next summer.

For example, if you no longer employ a live-in caregiver for the household since January 2022, and you do not proceed with the cancelation, the advance granted in January 2023 will be included in the calculation of your tax in summer 2022.

To change your advance, you must go to the site impots.gouv.fr in your particular space, by logging in using your tax id and password, go to

Manage my direct debit

on the menu bar at the top of the page, and then click

Manage your tax credit and rebate advances

. You can then:

  • request not to benefit from this tax credit advance in January 2023;
  • decrease the amount. You will then need to estimate the total amount of your tax benefit, based on your 2022 revenues and expenses, using the simulator ;
  • keep the lead as it is. You then have no steps to take.

Without action on your part, the advance calculated by the administration will be paid in mid-January 2023 to your bank account.

If you are entitled for the 1re When you receive tax benefits for your 2022 expenses and you did not have those expenses in 2021, you will receive all the tax reductions or credits in summer 2023. You will not receive the 60% advance in January 2023, but it will be paid to you in January 2024 based on your 2022 tax return.

FYI  

this advance relates to tax credits and reductions that the tax administration considers to be recurring: home employment, personal care, child care expenses, donations to works, etc.). The minimum amount of the advance is 8 euros, below, it will not be paid.

Please note

as of january 2022, individuals employing a homeworker are eligible for the immediate tax credit advance service if they employ a homeworker directly. Since June 2022, the Immediate Advance Service has been available to clients of personal care organizations. As of September 20, it is open to parents who use a home care helper to care for their child over the age of 6.

Additional topics

Agenda

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