Tax credits in France have a direct impact on income tax to pay, they reduce it. If the total amount of the tax credits is higher than the income tax owe, the differential is reimbursed by the French Tax Administration to the taxpayer, automatically, by check or wire transfer.

The main tax credits are the following:

  • Tax credit for interest on loans taken out for the acquisition of the main house (loans taken out before 2011)
  • Tax credits for housing expenditure important improvements, thermal insulations or regulation expenses, in your principal residence
  • Tax credit for the employment of an employee at home
  • Tax credit for Child Care expenses
  • Tax credit for union fees
  • Tax credit for interest on loans taken to finance higher education
  • Tax credit for purchase of an insurance policy against the risk of unpaid rent
  • Tax credit for the premium for employment
  • Tax credit for certain forestry investments (applicable from income taxation 2014)
  • Tax credit for withholding made in Austria and Luxembourg on the interests of savings products
  • Tax credits enjoyed by some foreign source income under an international convention to avoid double taxation (capital income, in particular)
  • Tax credits for business owners under the individual income tax regime:
    • Tax credit for research expenses
    • Tax Credit for competitiveness and employment
    • Learning Tax Credit
    • Tax credit in favor of the Art profession
    • Tax credit for entrepreneur training
    • Tax Credit for Employee family expenses
    • Tax credit for membership in an approved prevention group
    • Tax credit for the improvement of the energy performance of some housing
    • Tax credit for master restaurateur
    • Tax credit for business development expenses (commercial prospecting)
    • Tax credit for the expenses of the person replacing the farmer on leave
    • Tax credit in favor of organic farming
    • Tax credit in favor of the incentive
    • Tax credit for investments in the overseas departments (applicable from income taxation 2014)
    • Tax credit for investment in Corsica

http://www.impots.gouv.fr/portal/static/