Tax credit for competitiveness and employment (CICE): rate raised from 4% to 6% in 2014
The CICE, created by the third amending finance act for 2012 (article 244 quater C of the General Tax Code), is a tax credit based on wages up to 2.5 times the minimum wage paid by companies. The law set its standard rate at 6%, with a transitional 4% rate for wages paid in 2013. The 6% rate therefore applies to wages paid from 1 January 2014. It was raised to 7% in 2017, brought back to 6% in 2018, and the CICE was replaced in 2019 by a cut in employer social contributions.
Measure originators
No official estimate found for this measure.
Measure impact
The move from 4% to 6% increases by about half the tax credit of companies employing staff paid up to 2.5 times the minimum wage. According to the Senate's reconstruction of the Government's figures, companies' claims rose from 13.0 billion euros for 2013 to 20.3 billion euros for 2014.
Official references
Sources
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration
Possible referral to Constitutional Council
Décision de conformité / censure partielle
President of the Republic signature
Publication au Journal officiel
Council of Ministers
Validation interne