French General Tax Code
In forceI. - 1. Companies taxed on the basis of their actual profits may benefit from a tax credit equal to 50% of expenditure intended to finance the creation and operation of establishments mentioned in the first two paragraphs of Article L. 2324-1 of the Public Health Code and providing childcare for their employees' children under the age of three.
2. They may also benefit from a tax credit equal to 25% of the expenditure incurred in respect of the financial assistance from the company mentioned in articles L. 7233-4 et L. 7233-5 du code du travail.
3. They may also benefit from a tax credit equal to 10% of the sum of:
a) Training expenses incurred for employees of the company benefiting from parental education leave under the conditions provided for in Articles L. 1225-47 to L. 1225-51 of the Labour Code;
b) Training costs incurred by the company for new employees recruited following resignation or dismissal during the parental education leave referred to in Article L. 1225-47 of the same code, when this training begins within three months of recruitment and within six months of the end of this leave;
c) Remuneration paid by the company to its employees benefiting from leave under the conditions provided for in articles L. 1225-8, L. 1225-17, L. 1225-35 to L. 1225-38, L. 1225-40, L. 1225-41, L. 1225-43, L. 1225-44, L. 1225-47 to L. 1225-51 and L. 1225-61 of the same code;
d) Expenditure to compensate employees of the company who have had to incur exceptional childcare costs as a result of an unforeseen professional obligation occurring outside normal working hours, up to the limit of the costs actually incurred.
II. - Public subsidies received by companies in respect of expenditure entitling them to the tax credit are deducted from the bases for calculating this credit.
III. - The tax credit is capped at €500,000 for each company, including partnerships. This ceiling is assessed by taking into account the fraction of the tax credit corresponding to the shares of members of partnerships mentioned in articles 8,238 bis L, 239 ter and 239 quater A, and to the rights of members of groups mentioned in articles 238 ter, 239 quater, 239 quater B, 239 quater C and 239 quinquies.
When these companies or groupings are not subject to corporation tax, the tax credit may be used by the shareholders in proportion to their rights in these companies or groupings, provided that they are liable for corporation tax or natural persons participating in the operation within the meaning of 1° bis of I of Article 156.
IV. - A decree lays down the conditions for the application of this article.
