Tax advisors warn: no child will be able to apply the minimum
Tax experts warn that soon no child will be able to apply the minimum deduction for ascendants in the income tax return due to the income limit frozen since 2007. This situation affects thousands of families living with their elders, in a context where pensions have increased but the tax benefit has not been updated.
The freezing of the 8,000 euro annual threshold to access this deduction for ascendants makes its application practically non-existent and the number of beneficiaries has plummeted in recent years.
Why does it matter that no one can apply the minimum deduction for ascendants?
How does this situation affect families living with elders?
The freezing of the income limit progressively excludes taxpayers who care for parents, grandparents, or great-grandparents, because pensions exceed the set threshold. This means losing a tax relief at a time of rising cost of living and need for family support.
What is the evolution of the number of beneficiaries?
Data from the Tax Agency show that returns applying the minimum deduction for ascendants fell from more than 300,000 in 2008 to only 112,803 in 2023, evidencing that the measure has become outdated and almost useless.
What changes do tax experts propose to reverse the situation?
What formulas are proposed to update the minimum deduction for ascendants?
REAF-CGE professionals propose to annually adjust the income limit according to inflation, while Fettaf suggests fixing it at 80% of the interprofessional minimum wage, which for 2026 would be 13,675 euros, nearly double the current amount.
How could the deductible amounts be updated?
The current deductions of 1,150 euros for ascendants aged 65 or older and 2,550 euros for those over 75 have been frozen since 2007. Experts propose raising them to 1,497 euros and 3,320 euros respectively, taking into account the impact of rising living costs.
What consequences does the lack of updating have in the current social context?
Why does the freeze particularly harm caregiving families?
The lack of updating transfers a greater economic burden to families, who have to face rising expenses for utilities and professional caregiver salaries, at a time of progressive population aging.
What impact does it have on the social and fiscal function of the minimum deduction for ascendants?
The minimum deduction for ascendants ceases to fulfill its objective of supporting families who care for elderly people, losing effectiveness as a fiscal and social measure, which calls for an urgent review to prevent it from disappearing as a fiscal right.
| Year | Returns with minimum deduction for ascendants | Income threshold (euros) |
|---|---|---|
| 2008 | 300,000+ | 8,000 |
| 2023 | 112,803 | 8,000 (no update) |
The future of the minimum deduction for ascendants lies in its adaptation to economic and social reality, to prevent the disappearance of a necessary support for thousands of families living with elders.
Without this update, the deduction will become inoperative while the aging population grows and the need for family and social support increases. It remains to be seen if political and tax authorities take note in time.
Frequently Asked Questions
- Why will no one be able to apply the minimum deduction for ascendants soon?
- Because the income limit to access the deduction has been frozen at 8,000 euros since 2007, while pensions and incomes of ascendants have increased.
- What changes do tax advisors propose?
- They recommend updating the annual limit according to inflation or setting it as a percentage of the minimum wage, as well as increasing the deductible amounts for ascendants.
- How does this affect families who care for elderly people?
- Families lose a tax relief that helps offset the costs of caring for ascendants, transferring a greater economic burden to them in a context of rising prices.
