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Discussion Starter #1
Hi all.
France is very good to tell me how I should do my tax declaration, but I missing the point how to know more about tax exemptions, please?
What are things I could deduct from my tax declaration, please?
I assume going to work by bicycle is not possible?
Thank you

49,836 Posts
The French tax system works a little bit differently than some others. There aren't specific deductions and exemptions that you apply to your forms. Basically, you simply declare certain information and amounts spent and it's the Tax Office that does the calculation and applies the exemptions and "automatic" reductions to your income or your taxes.

Quick example: Section 2 of form 2042 is where you put all the various figures your bank sends you. Some of these are various forms of income, whereas some of them are taxes already paid which will be deducted when calculating your taxes due. For example, boxes 2DC, 2FU and 2CH are revenues that are subject to certain "abattements" (i.e. reductions) - you simply list the amounts and the Fisc will adjust the reported amount for the appropriate abattement (one of them reduces the reported amount by 40%, for example). Box 2CA are charges on certain investments that are deductible.

Then there is section 7 on the same form where you list certain items that are specific deductions - like certain charitable donations.

The "taxable income" you start with has already been reduced for most of your cotisations. And there is still (I think) a 10% reduction that is made for expenses of generating that income. But again, you don't actually do the deducting. That's what the Fisc does when they process your tax declaration.

You can see how some of the stuff works if you use a tax preparation software. Or pick up any of those tax advice books they sell at the various newsstands and bookshops. Not exactly "light" reading, but they do explain how the various items work and/or should be reported.
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