Good news for those who employ someone from home: the instant tax credit becomes a reality with HOME +. But not easy to understand how it works or to know which key dates to remember. We have prepared a little guide for you so that this new type of tax credit will no longer hold any secrets for you!
What is the instant tax credit?
The Personal Service Tax Credit (SAP) today:
If the tax credit already exists, you do not benefit from it immediately. You can benefit from tax credits when you hire a professional at home , whether as a private employer or through a service provider as is the case with Wecasa. In this case, you are reimbursed up to 50% of your care, cleaning or gardening costs with a one-year delay. You declare the expenses the following year on your tax return then the 50% will be reduced from your tax.
The SAP tax credit in 2022:
In 2022, individuals who use home services will be able to benefit from the immediate payment of aid . No need to wait until the end of the year, you’ll only pay half the bill.
This device has already been tested since September 25, 2020 in the North and in Paris. It will be extended to the rest of France from January 2022 for cleaning, gardening and home teachers. On the other hand, it will be necessary to wait a little for the childcare which should be eligible later (no date has been communicated for the moment).
People with loss of autonomy or disabilities who benefit from home help and who receive the personalized autonomy allowance (APA) or the disability compensation benefit (PCH) will have to wait before being eligible later. during this year.
How does the instant tax credit work?
What is HOME +?
The instant payment of aid will be made possible thanks to the HOME + tool. Individuals will receive payment requests directly to their account. and the 50% will then be immediately deducted from the amount. When the individual receives a payment request, he is notified by email or SMS. Without action on his part, the request is automatically validated within 48 hours.
For individuals :
Instead of paying for a full service and waiting a year for it to be reimbursed in the form of a tax credit, the individual will pay half of the total price. It is the State which will pay the other half directly to the professional. It is therefore the guarantee of not having to advance any costs. This avoids a delay before reimbursement or possible administrative problems that can create delays.
Please note, this does not exempt you from the red tape that you have to face if you are looking to employ someone without going through a home service provider.
For home professionals:
No change for professionals who will receive the same amount. Simply, half will come directly from the individual and the other half will be paid by URSSAF.
This is good news because it could encourage individuals to opt for home services more easily. This means a higher potential of clients for home professionals .
Instant tax credit and home service sites:
The instant tax credit will also be possible if you go through a provider website to book a home service. You just need to declare the amount of your expenses to benefit from it and pay only half of the service.
Pajemploi instant tax credit:
Households going through pajemploi will have to wait before being able to benefit from the instant tax credit system. No date has been announced for the moment but this concerns around 800,000 households which employ a childcare at home or a maternal assistant.
Instant tax credit through Wecasa
For individuals who are not directly employers but who go through benefit companies, it will take three more months for the instant tax credit system to be put in place. From April 2022, the tax credit will be applied directly to the amount of the benefit paid by the household.
At Wecasa, you will therefore be able to benefit from the instant tax credit from April 2022. It will be valid for cleaning services initially and then for childcare as soon as HOME + makes it possible.
Instant Household Tax Credit
All Wecasa household helpers are approved for personal service. It is thanks to this that you can benefit from a tax credit of 50% on the amount of the service.
If you wish to claim this credit, you will need to indicate the total amount of your expenses on your income tax return.
Instant child care tax credit
As with household cleaning at home, childcare is eligible for the instant tax credit from the moment you declare the amount of your expenses. Remember to keep your proof of payment each time you book.
Now that you know everything about the instant tax credit, you just have to wait for it to be effective to test HOME + ?
