Tax increaseIn effectIncome taxNational

Family quotient ceiling lowered to €1,500 per half-share

The 2014 Finance Act lowered from €2,000 to €1,500 the maximum income tax benefit from each half-share of family quotient granted for dependants. For the first child of single parents, the ceiling went from €4,040 to €3,540. Additional tax reductions for certain half-shares (disabled people, veterans, widowers) were raised to maintain their benefit. The measure applies to tax on 2013 income.

Measure originators

InitiatorGVT
Bernard Cazeneuve
Gouvernement
InitiatorGVT
Pierre Moscovici
Gouvernement
Amount
1,500 €
Impact on public finances
Brings in 1.03 bn €/yr2014 estimate · State
Source of the estimate: Projet de loi de finances pour 2014, exposé des motifs de l'article 3 (Official figure)

A positive amount is revenue or savings for public finances; a negative amount is a cost or lost revenue.

Effective date
1 January 2014

Measure impact

The measure concerns households whose child-related benefit exceeded the new ceiling, i.e. the highest-income households with children. The Government expected a budget gain of 1.03 billion euros, transferred to the family branch of social security.

Official references

Law number: Loi n° 2013-1278 du 29 décembre 2013 (LF 2014), art. 3
Official Journal: JORF du 30 décembre 2013

Procedure timeline

Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.

100%
4 / 4 steps
Completed
1 January 2014

Administrative implementation

Application

Entrée en vigueur de la mesure et mise en œuvre par l'administration

Application à l'impôt sur les revenus de 2013, établi en 2014.
Completed
29 December 2013

Possible referral to Constitutional Council

Constitutional review

Décision de conformité / censure partielle

Décision du Conseil constitutionnel n° 2013-685 DC du 29 décembre 2013 sur la loi de finances pour 2014.
Completed
29 December 2013

President of the Republic signature

Promulgation

Publication au Journal officiel

Promulgation de la loi n° 2013-1278 de finances pour 2014, publiée au Journal officiel du 30 décembre 2013.
Completed
25 September 2013

Council of Ministers

Internal validation

Validation interne

Actors
Pierre Moscovici, Bernard Cazeneuve
Présentation du projet de loi de finances pour 2014 en Conseil des ministres et dépôt à l'Assemblée nationale (projet n° 1395).