2023 is sure to bring its share of positive and negative changes. On the negative side, property taxes will continue to rise. But on the positive one, savings are picking up, thanks to the increase in the "Plan Épargne Logement (PEL)" or the "Livret A". The withholding tax scale has also been revised to take account of inflation. Property tax on main residence, previously paid by tenants and owners, has been suspended. Other arrangements are also planned for parents to help reduce their expenses and give them greater purchasing power.
Rise in the birth grant
The good news starts with births. The birth grant is on the rise. This is a welcomed boost as it should help parents to bear the new expenses. They will receive 1,003.95 euros, compared to 965.34 euros in 2022. The allowance is doubled in the case of twins. However, this allowance is not paid immediately. You will have to wait until the end of the last day of the second month following your child's birth (on average). The birth grant is a social benefit paid by the Caisse aux Affaires Familiales (CAF) reserved for people residing in France. Expatriate parents living on French territory are therefore eligible. There is also an adoption grant in place.
The large family pass and the cascading discounts
There is more good news for expatriate parents. Since January 9, 2023, they can apply online for their large family pass. Large family means having at least 3 children under the age of 18. This card is available to European citizens, foreigners residing in France, and French citizens. The large family pass entitles the holder to discounts on train tickets from the SNCF.
Such discounts relate to the number of minor children: -30% for the whole family with 3 minor children, -40% with 4 minor children, -50% with 5 minor children, -75% with 6 or more minor children. These reductions are calculated based on 2nd class travel. In addition, the large family pass offers many other discounts and advantages in the areas of health (supplementary health care), education (tutoring), childcare, culture and leisure (sports, cinema, press, museums, amusement parks, etc.), restaurants and even clothing.
To obtain the pass, all expats need to do is send in the supporting documents that include the family record book or birth certificates for all family members, passport photo for each family member, along with the application form and a check for 19 euros made out to the SNCF. European citizens must provide proof of nationality and proof of residence in France; non-eu citizens must present a valid residence permit.
Better coverage of childcare costs
Here's the third piece of good news for expatriates in France. As of January 1, the government is contributing more to childcare costs. The cap on childcare expenses has been raised to 3,500 euros, up from 2,300 euros. The measure concerns children under 6 years old who are taken care of by a nursery assistant, in a daycare center, or in a crèche.
Increasing monitoring for mothers-to-be
This new development concerns all women who will give birth in France. The Ministry of Health and Prevention is strengthening the monitoring of mothers and early screening. Under the recommendations of the High Authority of Health (HAS), the Ministry of Health is increasing the vigilance towards rare diseases and adding 7 new diseases that require screening. These new additions come on top of the 6 rare diseases and permanent deafness detection. These new examinations are covered by health insurance.
Abolition of the TV license fee
The French government has finally given in, against the advice of the public broadcasting industry. The contribution to public broadcasting, better known as the "TV fee", will no longer appear on tax forms. Until now, each household had to pay the annual 138-euro fee. According to the actors of the sector, the lack of funds will have a negative impact on TV programs' quality as the levied fee ensures autonomy and independence. However, the government has promised compensation to cover the shortfall. But still, they fear that they will lose out.
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