Thousands of French people will have to pay huge tax refunds and many have forgotten it

by time news

2024-07-10 09:30:14

Only those with foresight will not be surprised by the reports of the tax authorities.

A pleasant surprise will probably turn into a bad dream. In the middle of summer, when your mind is at rest and relaxation, a letter not collected from taxes will arrive in your mailbox or mailbox. For many French people, this will mean that they will still have to pay the tax authorities in a few weeks. Above all, the amount can be high because of the mandatory refund that many taxpayers may have forgotten.

In mid-January, more than 9 million French people received money in their bank accounts, sent automatically by the tax authorities. Without taking any action, without asking anything, all these families receive, in total, 634 euros. This is transferred by DGFiP to help families pay for the care of their child, their cleaning lady or even their garden work .

Indeed, when you are filing your income tax, it is possible to reduce the amount of tax you pay if you employ someone in your home (child care, maintenance, gardening, etc.) , if you let your child take care of the baby in the nursery, if you are in a nursing home or if you are investing in rent. In January, in order to limit housing costs for these types of expenses, the State paid 60% of the tax credit received last year. However, if you have not used this program in 2023, you will have to repay the advance.

An example to better understand: in 2022, you have done garden work which costs 2000 euros. In your 2023 tax return, you indicate this amount. Taxes have reduced your tax amount by 1000 euros since they cover 50% of the money. In January 2024, 600 euros are sent to you (60% of the amount covered in 2023). However, if in 2023 you have not gardened or used personal services, you will have to repay this tax advance.

Many families are affected, especially parents of children who, in 2022, are in day care and are now in school from 2023. The increase paid to pay for child care will have to pay back.

The surprise may be significant for many French people because the complexity of the mechanism means that many taxpayers are not aware of this law. If the money has not been set aside in anticipation of compensation, then you will have to draw your resources to pay your claims.

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