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Donor associations to support innovation through investment, are multiple ways to reduce taxes. It exists in all twenty-eight provisions for entitlement to tax reduction and five, along with a tax credit. Some of them, especially heavy, can hardly be implemented before the end of the year. However, for latecomers, here's ten tracks explore before December 31 to reduce your next tax (1).

1 – Make donations to associations

It is very easy to reduce taxation by being generous. Donations to associations or organizations for aid to individuals qualify for tax reductions: 75% of payments made to organizations that assist people in difficulty (capped at 510 euros). For other donations, public organizations, for example, 66% of payments will be deductible up to 20% of taxable income.On the income statement, it suffices to mention the donations in the box UD (asssocaitions providing housing or meals) and the UF box for all other institutions.

2 – Prepare your retirement

Think of his old age is also a way to reduce the tax bill. The tax incentive savings plan retirement populaire (PERP) allows employees to accumulate savings for their retirement. Money deposited in this area may indeed be deducted from total income in respect to a ceiling that appears on the last tax assessment. For example, an employee whose marginal tax bracket is 30%, which is investing 100 euros on the PERP, save 30 euro tax. At the time of retirement, the savings will be restored as an annuity.

"About the PERP

3 – Helping innovative companies

By participating in a common fund for investment in innovation (FCIC) or an Investment Fund proximity (FIP), you can reduce your taxes. Your shares are eligible for a tax reduction of 25% of the amount subscribed, capped at ? 12,000 (single) or 24,000 euros (couple). Most major banking networks selling such products. Units must be kept for at least 5 years.

4 – Investing in French cinema

And why not support culture? The capital of Sofica (Society for the financing of film) qualifies for a tax reduction of 40% or 48% if certain conditions are met. The basis for calculating the reduction is limited in the double limit of 25% of total net income and 18,000 euros.It should move towards a service asset management of a bank or a specialized firm, the product remains quite rare and confidential. Securities purchased must be conversation 5 years.

5 – Investing in forestry

Soaring prices facing the forest for 3 years makes it a very interesting investment. Especially since the sales or purchases of shares of forestry groups qualify for a tax reduction of 25% calculated on an annual ceiling of 5,700 euros (single) or EUR 11,400 (couple). Units must be held 8 years.You can also invest directly in land acquisition in natural woods and forests and barren land to be afforested (within 3 years), to establish a management unit of at least 5 hectares in a single taking.

Subsequently, and subject to achieve a management unit of at least 10 hectares in one piece, you can receive a tax cut for forest 25% of annual expenditure capped at 6,250 euros (single person ) or ? 12,500 (couple). Warning, you must agree to retain the land for 15 years and to apply a management plan approved by the Regional Center Property Forest.

6 – Benefit of tax credits for your work

All those who are reluctant to work in their primary residence may be motivated by thinking of the tax credit they will receive.Insulation work, installation of devices to control heating, condensing boiler or heat pump are eligible for tax credits. The work must be performed by a professional who can provide information on the characteristics of the equipment to receive the credit calculated at 25%, 40% or 50% of the amount and nature of expenditure (excluding labor, except for insulation).

Warning: This tax credit is characterized by a multi-year ceiling of 8,000 euros (single) or 16,000 euros (couple) plus ? 400 per dependent, ceiling covering all expenses paid in 5 consecutive years between 01/01/2005 and 31/12/2012. This tax credit was extended to expenses paid by the owners for their commitment to housing rent naked as a principal residence for at least 5 years.

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7 – Subscribe to capital for SMEs

You have a friend or relative who wants to create or strengthen the equity of a company. Your subscription to the capital you will receive a tax reduction of 25% ceiling on payment of 20,000 euros (single) or EUR 40,000 (couple). If your purchase exceeds those limits, the excess is reported in the same limits on the following 4 years.

8 – Doing work in bare ownership

Your parents have proceeded to share their property and you are bare owner of the house they occupy as usufruct. If you make major repairs in this house, you can deduct from your total income to a maximum of 25,000 euros with the possibility of deferral of excess expenditure over 10 years.If you take out a loan and that you have income from property, interest will be deducted from the said land revenue.

9 – Focus on real estate rental

The devices' depreciation Robien refocused and Borloo "will no longer apply to new houses acquired from 01/01/2010. It is still possible to opt for these devices if the act of purchase is signed before December 31, even if the delivery takes place later (acquired in the future state of completion).

On the device "Scellier, the draft Budget Act 2010 should tighten the conditions for applying a reduced advantage for purchases of homes for rent that would not meet the standard" Building Low Energy Consumption "(BBC ). The rate reduction should be reduced to – 20% for dwellings built or acquired in 2010, and – 15% from 2011.For homes purchased or built in 2009, the rate reduction, 25% will be maintained. For homes respecting the BBC's standard rates, tax cuts remain unchanged, ie 25% in 2010 and 20% in 2011 and 2012. Very interesting for tax exemption, the accumulation of Scellier Robien and should be considered in certain cases. So why give up when you can combine the devices?

10 – Have the reflex Internet if not already

If for 2009 you decide first to declare your return electronically, you will be allocated a tax cut to 20 euros.Having paid your third-looking check does not prevent the reduction provided that you agree with the declaration in line with the deadlines set by the following levies or electronically.

(1) Caution: the tax benefits mentioned (except the bare ownership) are capped at 25,000 euros plus 10% of net taxable income subject to progressive rates.

"Read the special dossier Taxation 2009

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Morel Gervais is co-author of "Taxation, investment and tax cuts" (Ed UK.gif Edition).

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