15% cut ('rabot') on income tax reductions and credits subject to the overall cap

Article 83 of the 2012 Finance Act reduces by 15% the benefit from income tax reductions and credits subject to the overall cap on tax breaks: their rates and ceilings are multiplied by 0.85. Schemes for employing a home worker, childcare costs and investment in overseas social housing are excluded. The cut applies from the taxation of 2012 income for expenses paid from 1 January 2012. It comes on top of the 10% cut of the 2011 Finance Act.