CESU (cheques emploi service universel) tax rebate trouble!

[Alex Duncan]

I and my wife are French residents for tax purposes. We run Gites and Bed & Breakfast. I am the sole registered person as self-employed under the Micro-Bic regime. My wife is not registered as my conjoint. Last year we paid 4000 € or so to local helpers and artisans using the CESU service. We were expecting to be refunded 50% of the payments made as a credit to our tax bill. It works out that if you pay say a 100 euros cheque then you get charged an additional 60% or so as their charges. Then you are supposed to be reembursed 50% of the initial 100 euros cheque. Effectifly if you pay 100 euros you will actually loose 110 euros. That was what we thought would happen. But the local tax office told me that since my wife is not registered as employed, we were not entitled to any rebate. I feel tricked! I did not know this was the case with CESU. Did I miss something in the CESU pamphlet? Does anyone have anything useful to contribute to this topic? I am due to raise the issue with my accountant shortly. Just wanted to forarmed.... Yours slightly peeved. Alex in the Cevennes mountains where most local people prefer to work on the black anyway!!! What a joke, really... ah the fun and games of living in France and making a living. (sorry for the mini rant!).

[Clair]

The CESU system is designed to be used by individuals paying for work related to their home.

It is not designed to be used for businesses to pay for work related to the business.

[quote]Activités effectuées au domicile de l’employeur :

• entretien de la maison et travaux ménagers,
• petits travaux de jardinage, y compris les travaux de débroussaillage,
• prestations de petit bricolage dites "hommes toutes mains",
• garde d’enfant à domicile,
• soutien scolaire à domicile et cours à domicile,
• assistance informatique et Internet à domicile,
• assistance administrative à domicile,
• assistance
  aux personnes âgées ou aux autres personnes qui ont besoin d’une aide
  personnelle à leur domicile, à l’exception d’actes de soins relevant
  d’actes médicaux,
• assistance aux personnes handicapées y
  compris les activités d’interprète en langue des signes, de technicien
  de l’écrit et de codeur en langage parlé complété,
• garde malade à l’exclusion des soins,
• soins d’esthétique à domicile pour les personnes dépendantes,
• maintenance, entretien et vigilance temporaires, à domicile, de la résidence principale et secondaire;

Activities conducted at the home of the employer:

• Housekeeping and housework,

• Gardening work, including brush cutting,

• Basic DIY maintenance
• Child-care at home

• Tutoring at home

• IT support and Internet at home

• Administrative assistance at home

• Assistance to the elderly or others who need personal assistance at home, except for medical procedures,

• Assistance to persons with disabilities including work as an
  interpreter in sign language, written and spoken language,
• Patient care except for medical procedures,

• Beauty treatments at home for dependent persons,

• Maintenance, maintenance and temporary surveillance of the main home and secondary residence;[/quote]

[Hereford]

I thought there was a different version of CESU for "small" employers - but they would then get tax relief via business accounts surely...?

Mrs H

[Clair]

The Chèque Emploi TPE  (Très Petite Entreprise) is designed for small businesses (5 employees or fewer) to simplify the employment formalities.

The TESE (Titre Emploi Service Entreprise) does the same for businesses of up to 9 employees or those who take on employees on short contracts.