Other news for April 2024

Declaration of disabled workers

Companies with at least 20 employees must employ disabled workers in a proportion of at least 6% of their total workforce. Those who do not comply with the Obligation to employ disabled workers (OETH(1)) must pay an annual financial contribution. As such, companies concerned by the OETH must, each year, make an annual declaration in relation to their compliance during the previous calendar year and, where applicable, pay the corresponding financial contribution. This declaration must be made in April.

Fight against tax fraud

The government has just presented the results of its plan to combat tax, customs, and social fraud for the year 2023. Regarding tax evasion, no less than €15.2 billion (tax and penalties) were recovered last year by the government from individuals and companies following inspections. The sums recovered show a 7.1% increase (i.e., €600 million) in one year (compared to the €14.6 billion recovered in 2022).

Bicycle tax reduction

Companies subject to corporate income tax that provide their employees with bicycles free of charge for their home-to-work journeys can benefit from a tax reduction, without exceeding up to a limit of 25% of the purchase or leasing expenses of the bicycles, including VAT. Bearing in mind that the tax reduction applies to all bicycles acquired beginning with the first bicycle and to leasing expenses provided that the lease is conclude for a minimum period of 3 years. This measure, which was due to end in 2024, has been extended until December 31st, 2027.

Credit mediation

Free, fast, and confidential, the credit mediation system, backed by the Banque de France, can be requested by any company that encounters difficulties relating to bank financing. In 2023, credit mediation managed 1,400 cases, compared to 2,175 in 2022. 500 applications, i.e., more than a third of them, concerned restructuring of state-guaranteed loans (PGE). The remaining referrals, the majority (62%), are the result of refusals to grant new bank financing or difficulties relating to existing financing.

(1) Obligation d’Emploi des Travailleurs Handicapés (OETH)