From this Thursday, the French can start declaring their 2021 income. They have until May 19 to do so in the event of a paper declaration, and between May 24 and June 8 for online declarations.
French households can start from this Thursday to declare, for almost all of them online, their income for 2021, with some new features such as the revaluation of the mileage scale decided in the face of the increase in fuel prices.
Households that cannot make a declaration online and therefore still complete a paper declaration will have until midnight May 19 to return it. For those who declare their income online, the deadline ranges from May 24 to June 8, depending on their department of residence.
As every year, certain measures taken during the past year bring some modifications to this declaration.
One of the main novelties concerns the kilometer scale which allows taxable households to deduct part of their fuel expenses as business expenses.
Faced with soaring gasoline and diesel prices, the government has decided to increase this scale by 10%, a measure which concerns “the heart of the middle class”, according to the Ministry of the Economy.
According to government sources, this measure should concern 4.3 million households declaring their actual costs, of which 2.5 million are actually taxed.
In addition, the tax-exempt purchasing power premium, known as Macron premium has been extended in 2021. It is exempt from tax within the limit of 1,000 euros for any employee earning less than three times the minimum wage (gross), and up to 2,000 euros for companies with fewer than 50 employees who have concluded a profit-sharing agreement or promotion of so-called “second line” professions (i.e. professionals, excluding caregivers, who continued to work on site during confinement).
New tax credits
The government has also extended the increase, to 75% of the amount of the donation, of the tax reduction granted for a donation to an association helping the most deprived. This increase also applies to donations made to religious associations.
In addition, new tax credits are appearing this year: that of 30% granted for a first subscription to the information press, or even that of 75% (within the limit of 300 euros) for the installation of a system of electric vehicle charging in a dwelling.
Finally, the rate of the tax reduction for an investment in SMEs is increased from 18% to 25% for investments made between May 9 and December 31, 2021.
Note that the inflation bonus of 100 euros received from December 2021 by millions of households is not subject to income tax.