40% income tax reductions for SOFIPÊCHE subscriptions and co-development savings account deposits

Articles 88 and 89 of the 2009 Finance Act replace two deductions from taxable income with tax reductions. Cash subscriptions to the capital of small-scale fishing financing companies (SOFIPÊCHE) give a tax reduction of 40% of amounts paid between 1 January 2009 and 31 December 2011, within 25% of net total income and €19,000 (€38,000 for a couple), clawed back if the shares are sold within five years (Article 199 quatervicies of the General Tax Code). Deposits into a co-development savings account give a 40% tax reduction on amounts paid over the same period, within 25% of net total income and €20,000 (Article 199 quinvicies). Article 107 of the 2011 Finance Act repealed the co-development savings account and Article 199 quinvicies from the taxation of 2010 income, so that reduction only applied to 2009 payments. The SOFIPÊCHE reduction was cut to 36% for 2011 payments.