The French Real Estate Wealth Tax (IFI) applies to individuals with real estate assets exceeding €1.3 million. Often perceived as a burden, it can nevertheless become an opportunity for concrete action.
Indeed, the law allows you to deduct 75% of the amount of a donation made to a recognized public-benefit foundation, up to a limit of €50,000 in tax reduction. In other words, you can direct part of your taxes towards meaningful causes.
Who is affected by the IFI?
The following are subject to the IFI (French wealth tax):
natural persons who are tax residents of France
possessing non-professional real estate assets
worth more than €1,300,000, in France or abroad
How does the IFI reduction work?
The mechanism is simple:
✔ 75% of your donation is tax-deductible.
✔ up to a discount of €50,000
✔ i.e., a maximum donation of €66,667
Concrete example
Wealth tax due: €3,000
Donation made: €4,000
👉 Wealth tax reduction: €3,000 (75%)
👉 Result: your IFI is cancelled
Another example:
Donation of €350
👉Actual cost after discount: €87.50
Why make a donation under the IFI (French wealth tax) scheme?
Making a donation subject to IFI (French wealth tax) is not just about optimizing your tax situation.
It's making a choice: the choice to direct your taxes towards projects that transform lives. Through this program, you become an active participant in:
- education
- the training
- solidarity
- human support
Supporting the Fondacio Fraternity Foundation
The Fondacio Fraternity Foundation, under the aegis of the Notre-Dame Foundation recognized as a public utility, is authorized to receive donations deductible from the IFI.
It supports Fondacio's work in France and in more than 20 countries worldwide, all working towards a common goal: contributing to a more humane and just world. Donations support initiatives in several key areas:
- Youth: Supporting young people to become responsible and engaged actors in society.
- Couples and families: Supporting lasting, peaceful and constructive relationships.
- Seniors: Supporting them through life stages, particularly retirement and old age.
- Solidarity: Enabling people in precarious situations to become agents of their own development.
IFI donation: a tax choice… and a corporate choice
Reducing your wealth tax is possible. Choosing where that tax goes is a responsibility. By directing your donation towards projects with a lasting human impact, you contribute to bringing about profound, often discreet but essential transformations.
How to make a donation subject to the French wealth tax (IFI)?
To benefit from the discount:
- Make your donation to the Fondacio Fraternity Foundation via this link: https://don.fondationnotredame.fr/fondation-fraternitedefondacio
- Declare it in your IFI tax return
- Keep your tax receipt
To estimate your donation, you can divide your IFI (French wealth tax) liability by 0.75. Donating to IFI allows you to transform a tax obligation into a concrete means of engagement. Beyond the tax reduction, it's a choice: the choice to support initiatives that assist individuals, their journeys, and their lives.
