Reductions and tax credits: 60% advance payment

With the introduction of the withholding tax, tax reductions and credits continue to be taken into account in the calculation of income tax. They are calculated on the basis of the expenses indicated in the annual income tax return and paid with a lag year. In 2020, households received their tax reductions/credits for 2019. In 2021, they will benefit from those due for the year 2020.

If this is the case, the General Directorate of Public Finance (DGFiP) pays you an advance on January 15, 2021 corresponding to 60% the total amount of tax credits and reductions you are entitled to.

To find out if you will receive this advance, you can consult the tax website on table of tax credits and reductions eligible for this advance (donations to works, union dues, employment at home, childcare expenses, expenses related to dependency, rental investments...).

It's by a transfer that's worded

CREDIMPOT ADVANCE

the payment will be made (the actual payment to the account may nevertheless vary according to the banks). Where tax authorities do not have the bank account information of taxpayers, they will receive this advance by check letters by the end of January 2021.