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In order to encourage the use of cleaner transport for home-work journeys, the “sustainable mobility package” came into force on May 10, 2020. With the aim of improving purchasing power, the exemption ceilings attached to this system are noted from August 18, 2022. This is what the amending finance law for 2022 provides.

In line with the mobility law, for easier, less expensive and cleaner daily transport, the decree of May 9, 2020 set up the “sustainable mobility package”, to support employees and employers in the private sector. The exemption ceilings for this benefit were raised by the amending finance law for 2022 of August 16, 2022.

For employees, this involves the optional payment by their employer of all or part of personal transport costs between home and work (fuel costs, costs incurred for the supply of electric vehicles, hybrids rechargeable or hydrogen) up to €800 per year (instead of €600 per year). This coverage, for the years 2022 and 2023, will benefit all employees and no longer just employees using their vehicle to get to their place of work.

The means of transport concerned are:

  • bicycles and electric bikes (personal and rental);
  • the car in the context of carpooling (as driver or passenger);
  • personal transport vehicles, mopeds and motorcycles for hire or self-service (such as free-floating electric scooters and scooters);
  • motorized personal transport vehicles for individuals (scooters, monowheels, Segways, skateboards, hoverboards, etc.);
  • car-sharing with electric, rechargeable hybrid or hydrogen vehicles;
  • public transport outside the subscription fee.

The package is exempt from income tax and social contributions within the limit of:

  • €700 per person and per year for the years 2022 and 2023 (including a maximum of €400 for fuel costs);
  • €800 in the event of the combination of the sustainable mobility package and the payment by the employer of the public transport season ticket.

In addition, for the years 2022 and 2023, employees using their personal vehicle to get to work will see the payment of their fuel or food costs for their vehicle combined with the compulsory payment of 50% of the cost of public transport season tickets.

Finally, for the years 2022 and 2023, the tax and social security exemptions applicable to the mandatory payment by the employer of public transport costs for employees will be extended to the optional part of these costs above 50%. This exemption will apply within the limit of 25% of the price of these season tickets, thus bringing the total exemption to 75% of the price of the tickets at most.

By Me

2 thoughts on “Home-to-work journeys – Sustainable mobility package: raising of the exemption ceilings”
  1. Hi Admin

    I hope you are doing well.

    Hamza this side.

    I wanted to know about the guest post details.

    Waiting for your reply.

    Regards

    Hamza

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