Tax Credit for Subscriptions to Publishers
In an effort to rescue the publishing industry, a sector that has slumped due to the Covid-19 pandemic, French MPs have introduced a tax credit which will be granted to new subscribers of current affairs newspapers and magazines.
As with most of the French administration, there are conditions that must be met in order to qualify for this new tax credit scheme. There are three different forms of outlet than one can subscribe to :
- Online Press Service
- Periodical publication which must publish quarterly as a minimum
- You cannot receive a tax credit if you subscribe to an online service that groups together several online press services if some of the newspapers or periodicals do not provide political or general information.
The contents of the outlet must also fit certain criteria. The media outlet must :
- Provide, on a permanent basis, information and commentary aimed at enlightening citizens on political and general news (local, national or international)
- Dedicate the bulk of of its editorial space to these objectives
- Interest exceeding a drive category
For you to qualify :
- You must be tax domiciled in France
- Your tax household’s income must not exceed 24 000 € for a share of family quotient. The limit is increased by 6 000 € per additional half share
- The duration of your first subscription must be a minimum of 12 months
Reporting your expenses :
- You will have to report the amount of expenses paid in 2021 in 2022. The same applies for expenses incurred in 2022 (reporting made in 2023)
- These subscription expenses must have been paid between the 9th of May and the 31st of December
- If the amount of tax credit is greater than the amount of tax you owe, the excess will be returned to you
It is important to keep a hold of your receipts or invoices indicating the amount paid and when and the identity and address of the beneficiary. They do not need to be attcahed to your tax returns but you must be able to produce them should the tax authorities ask for proof.
The tax credit for subscribing to a press title is equal to 30% of the expenses incurred through your subscription. Therefore, if your one-year subscription costs 120 €, you would receive a tax credit of 36 €
As an example :
For a couple with 2 children, you are entitled to 3 shares. Income must not exceed 24 000 € + (4 x 6 000 €) = 48 000 €
We have plenty of experience in helping people and companies with tax credit schemes and submitting tax reports. If you are interested in this scheme or any others and feel you would like some assistance, get in touch with us over the phone on 01 53 93 94 20 or by email at [email protected]