the instant tax credit will be available by the end of January

Individual employers will benefit from the generalization of the immediate advance system on the dedicated tax credit from the end of January, said Minister Delegate for Public Accounts Olivier Dussopt on Tuesday, confirming measures announced in 2021.

This launch, which will take effect on January 28, marks the first step in the generalization of the immediate advance of tax and social aid for personal services, experienced since September 2020 in Paris and in the Nord department, specifies the Minister. in a press release.

In practice, from January 2022, individual employers who use the CESU + simplified declaration service will be able to deduct from the salary to their employee the amount of tax credit corresponding to personal services, is it still detailed.

Tax credit: Cesu or service provider, here is the instructions for the immediate advance

The system thus allows its beneficiaries to pay only 50% of the actual cost of the service, with the State taking responsibility for paying the other half directly to the employee or the service provider.

Fight against undeclared work

The next steps in the generalization of immediate advances in tax and social assistance have been announced: from April, it will be offered to users of intermediated services (via mandated bodies, service providers or platforms).

Secondly, it will concern beneficiaries of the APA (personal autonomy allowance) and the PCH (disability compensation benefit) and childcare.

The Social Security financing law for 2022 has set the year 2023 as a chance for the first, and the year 2024 for childcare. These instant tax credit schemes had been announced in February 2021 by Olivier Dussopt, who then wanted to make it a means of combating undeclared work.

For modest households who sometimes give up hiring, this reform is a very good initiative because it removes the blocking element that was the cash advance, welcomed the Federation of Individual Employers of France (Fepem) in a press release.

In the home help sector, Urssaf lists 1.87 million direct employers and 680,000 employees. In terms of childcare, it counts 770,000 direct employers and 243,000 childminders.