Employer coverage of fuel and transport costs: higher tax-free limits for 2022 and 2023
Article 2 of the amending finance law of 16 August 2022 raises, for 2022 and 2023 income, the income tax exemption limit on employer coverage of fuel costs or charging costs for electric, plug-in hybrid or hydrogen vehicles and of the sustainable mobility allowance: €700 a year, of which up to €400 for fuel (€900 including €600 in the overseas departments). It allows this coverage to be combined with reimbursement of public transport passes. Optional coverage of transport passes beyond the legal 50% obligation is exempt up to 25% of their price.
Measure originators
No official estimate found for this measure.
Measure impact
In 2022 and 2023, the employer can cover up to €700 a year of an employee's home-to-work travel costs (including €400 for fuel) free of income tax for the employee, against €500 including €200 for fuel before. Reimbursement of public transport passes can reach 75% of the price while remaining exempt. The revenue loss is offset by a higher excise duty on tobacco. The higher caps were later extended to 2024 by the 2024 Finance Act (a separate text, not covered here).
Official references
Sources
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
President of the Republic signature
Publication au Journal officiel
Possible referral to Constitutional Council
Décision de conformité / censure partielle
Debate and vote
National Assembly has the final say
Si échec CMP
Joint committee
Désaccord éventuel
Debate and vote
Debate and vote
Débat et vote en séance publique à l'Assemblée nationale, ou engagement de la responsabilité du Gouvernement (article 49.3)
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration