25% tax reduction rate for subscriptions to the capital of social utility enterprises and solidarity property companies extended to 2027
Article 26 of the 2026 budget act keeps at 25%, instead of the standard 18% rate, the income tax reduction for payments made until 31 December 2027 for subscriptions to the capital of social utility solidarity enterprises (ESUS, Article 199 terdecies-0 AA of the General Tax Code) and solidarity property companies (Article 199 terdecies-0 AB, by amending Article 157 of the 2020 budget act). For ESUS, the 25% rate is subject, for payments made from 1 October 2026, to a European Commission decision; Decree No. 2026-968 of 20 October 2026 applies it to payments made from 22 October 2026.
Measure originators
No official estimate found for this measure.
Measure impact
Individuals subscribing to the capital of social utility enterprises or solidarity property companies receive a tax reduction of 25% of sums paid in 2026 and 2027 (instead of 18%).
Official references
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Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration
Entry into force
Immédiate ou à la date prévue
Publication in Official Journal
President of the Republic signature
Publication au Journal officiel
National Assembly has the final say
Si échec CMP
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration