Childcare: instant tax credit postponed to 2026

2023-10-30 19:04:12

Published on Oct 30, 2023 at 7:13 p.m.Updated Oct 30, 2023 at 8:04 p.m.

Bad news for families’ cash flow: while parents who look after their young children should have benefited from an instant tax credit next January, they will have to continue to advance the costs. The extension of the immediate tax credit advance system – which already concerns gardening or cleaning work carried out at home for example – is postponed to 1is July 2026 for childcare costs for children under six years old.

The reason given is of a technical nature. The families in question benefit from assistance from the Family Allowance Fund (CAF), which must be deducted from the salaries paid to the nanny to calculate the amount of the tax credit (equal to 50% of the expense, in the limit of 6,000 euros). However, a reform of this assistance is underway, to better take into account cases of alternating custody or single-parent families. The government therefore prefers to wait so as not to get confused.

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