The Senate adopts the Green Industry Bill (C3IV): towards the creation of a new tax credit?

July 17, 2023

The purpose of this text is toaccelerate industrial job creation and make industry "a lever for reducing France's carbon footprint".. It has now been submitted to the National Assembly.

Among other measures, this text provides for introduction of a green industry tax credit (C3IV), and a high level of subsidies (2.3 billion euros in direct loans or guarantees from Bpifrance) for companies that meet certain "climate targets.

Green Industry Tax Credit (C3IV): which companies are concerned?

This tax credit would be reserved for companies established in France that make the investments required to produce green or low-carbon energies, such as :

of new-generation batteries
of solar panels
of wind turbines
of heat pumps.

What is the rate of the Green Industry tax credit and what are the eligibility criteria?

The new tax credit would amount to between 20 and 45% of eligible expenditure that would qualify as "green industry" investments.

The government defines green industry as follows:

"The green industry encompasses two major families of activities:

The creating green industries Establish and expand new industries that provide goods and services to decarbonize our economy.
The decarbonizing existing industry To enable all existing industries, whatever their sector, size or location, to green their operations, and to support them in this process.

Of grants would be provided for sectors not covered by this new tax credit.