Bank accounts in French companies

A large number of business leaders wonder if it is compulsory in France to open a bank account dedicated exclusively to the business and if this account must necessarily be a professional type account.

BANK ACCOUNTS IN FRENCH COMPANIES 15/01/2022 A large number of business leaders wonder if it is compulsory in France to open a bank account dedicated exclusively to the… more

Happy Holidays 2021!

Happy Holidays 2021! 15/12/2021 In spite of the singular period we have been experiencing for the past two years, we have always put all our energy into supporting our… more

Checklist of the information that I must provide to my accountant at the time of closing the accounts

The annual closing of accounts is a very important operation for business leaders and for accounting firms because it materializes the purpose of all the accounting work that was carried out during the financial year.

CHECKLIST OF THE INFORMATION THAT I MUST PROVIDE TO MY ACCOUNTANT AT THE TIME OF CLOSING THE ACCOUNTS 15/12/2021 The annual closing of accounts is a very important… more

Non-commercial profits (BNC): the option for commitment accounting "Receivables - Debts"

The BNC subject to the "controlled declaration" regime must keep a cash accounting, i.e. their taxable profit is determined by the difference between the receipts received and the expenses paid during the year. However, it is also possible to choose the option for commitment accounting.

NON-COMMERCIAL PROFITS (BNC): THE OPTION FOR COMMITMENT ACCOUNTING "RECEIVABLES - DEBTS"

30/11/2021 BNCs subject… more

100€ inflation bonus

100€ inflation bonus 17/11/2021 Find here some clarifications concerning the "inflation" bonus on your December pay slips. Indeed, the bill has been presented in preview to the… more

Filing of accounts at the clerk of the Commercial Court of French establishments of foreign companies

Since 2012, foreign commercial companies having a branch in France must file each year, at the registry of the commercial court of the place where they are registered, the accounting documents that they have drawn up, have checked and published in the country where they have their registered office. Is this the case for you? Let's take a look at the documents that must be filed with the clerk of the commercial court and discuss some of the specifics!

FILING OF ACCOUNTS AT THE CLERK OF THE COMMERCIAL COURT OF FRENCH ESTABLISHMENTS OF FOREIGN COMPANIES 15/11/2021 Since 2012, foreign commercial companies having a branch in… more

Remuneration of company officers

Are you a corporate officer or are you thinking of becoming one? Do you know how this status works with regard to remuneration and social benefits? Do you know the differences between a corporate mandate and an employment contract? Here we take stock of everything you need to know on this subject!

REMUNERATION OF COMPANY OFFICERS 31/10/2021 For a corporate officer, the remuneration is freely set by the partners. No minimum is required by law and, contrary to what… more

The conventional termination of the employment contract

The conventional termination allows the employer and the employee on a permanent contract to agree by mutual agreement on the conditions of the termination of the employment contract that binds them. It is a guarantee of security for the future for the employer which often makes it possible to avoid the aggravation of a conflictual situation.

THE CONVENTIONAL TERMINATION OF THE EMPLOYMENT CONTRACT 15/10/2021 The conventional termination allows the employer and the employee on a permanent contract to agree by… more

Non-professional furnished rental after the reform of the social security financing law for 2021

Non-professional furnished rental meet a precise definition and are subject to a particular tax and social regime. We will briefly describe the rules related to this activity.

NON-PROFESSIONAL FURNISHED RENTAL AFTER THE REFORM OF THE SOCIAL SECURITY FINANCING LAW FOR 2021 30/09/2021 Non-professional furnished rental meet a precise definition and… more

Working time: Working time counting & Extra time

The legal working time in France is 35 hours per week in all companies, regardless of their workforce. This notion of legal duration does not imply that the collective schedule must systematically be set at 35 hours per week. It simply means that, beyond this threshold, the hours worked by employees are overtime and must therefore give rise to salary increases and, possibly, to rest periods.

WORKING TIME: WORKING TIME COUNTING & EXTRA TIME 15/09/2021 The legal working time in France is 35 hours per week in all companies, regardless of their workforce. This… more

Problem receiving tax notices

Many of you have not received your 2020 income tax notice and have noticed that your last income tax return is missing from your tax account.

News flash: Problem receiving tax notices 02/09/2021 Many of you have not received your 2020 income tax notice and have noticed that your last income tax return is missing… more

"Sustainable mobility" package

The exemption limit has been raised to €600 per year instead of €500 when combined with the mandatory employer's contribution to the cost of public transport passes.

"Sustainable mobility" package 30/08/2021 Many of you have asked us about the "sustainable mobility" package. Please be aware that the exemption limit has been raised to €… more

The 2021 Taxation notice on revenues achieved in 2020 translated and explained

Have you received your income tax return and are not sure how to fill it in correctly? Then check out this article without further ado, where we explain this document part by part!

THE 2021 TAXATION NOTICE ON REVENUES ACHIEVED IN 2020 TRANSLATED AND EXPLAINED 30/08/2021 It is currently that taxpayers receive their notices of taxes and social… more

The tax representative in France

Persons subject to VAT and established outside the European Union in a State which has not concluded an agreement with France for assistance in the recovery of tax debts are required to appoint in France a taxable representative established in France.

THE TAX REPRESENTATIVE IN FRANCE CASES OF MANDATORY APPOINTMENT - HIS MANDATE 31/07/2021 - updated on 09/09/2021 Persons subject to VAT and established outside the European… more

Purchasing Power Bonus 2021

Purchasing Power Bonus 2021 July 23th, 2021 We would like to inform you that the purchasing power bonus has been renewed. It must be paid between 01/06/2021 and 31/03/2022.… more

Compulsory opening of the AT/MP account for all companies with less than 11 employees

Opening of the AT/MP account on Net-Entreprises.fr before 01/12/2021 for all companies July 23th, 2021 Please note: this procedure does not apply to you if you have no… more

The application of the VAT reform on e-commerce

The reform of the VAT on distance selling has become necessary because of the exponential growth in the number of online “B to C” transactions which has revolutionized the distance selling market in just a few years.

THE APPLICATION OF THE VAT REFORM ON E-COMMERCE

15/07/2021 The reform of the VAT on distance selling has… more

The annual general meeting in the S.A.S. and S.A.S.U.

The S.A.S. (or S.A.S.U) is a social form more and more used because of the many attractions it has, the two main ones being the flexibility of this type of company and the possibility for managers to benefit from the social security scheme for employees while holding the majority or all of the capital.

THE ANNUAL GENERAL MEETING IN THE S.A.S. (SOCIETE PAR ACTIONS SIMPLIFIEE) AND S.A.S.U. (SOCIETE PAR ACTIONS SIMPLIFIEE UNIPERSONNELLE) 30/06/2021 The S.A.S. (or S.A.S… more

The trusts: Annual declaration to be presented by the administrator before June 15th

Trust administrators must declare to the tax authorities in France, before June 15 of each year, the market value on January 1st of the assets and real estate, as well as the capitalized products making up the trust (article 1649 AB of the general tax code).

THE TRUSTS: ANNUAL DECLARATION TO BE PRESENTED BY THE ADMINISTRATOR BEFORE JUNE 15th 07/06/2021 Trust administrators must declare to the tax authorities in France,… more

The French tax regime for revenues from a building “Revenus fonciers”

What is "Revenus fonciers"? It is the taxable income from the rental of bare buildings (rural, urban, built or not) and received by the taxpayer or another member of the tax household.

THE FRENCH TAX REGIME FOR REVENUES FROM A BUILDING “REVENUS FONCIERS” 31/05/2021 We present below the general rules concerning land income realized with a building located… more

Brexit: the impacts on personal taxation & some consequences for companies

To follow up on our article published at the beginning of the year, entitled "THE TAX CONSEQUENCES OF BREXIT ON INTERNATIONAL TRADE", we indicate here in the first part the consequences of BREXIT on the taxation of persons and we will give in the second part, some current information of interest to companies and groups of companies.

BREXIT: THE IMPACTS ON PERSONAL TAXATION & SOME CONSEQUENCES FOR COMPANIES 15/05/2021 To follow up on our article published at the beginning of the year, entitled "THE… more

Seasonal workers: conditions for part-time activity

The Ministry of Labour, Elisabeth Borne, has specified the conditions of part-time activity for seasonal workers in order to secure recruitment for the spring/summer season and to allow professionals to prepare for the resumption of activity.

Seasonal workers: conditions for part-time activity April 16, 2021 Dear Clients, Here are the social breaking news dealing with a topical subject: the conditions for… more

Work permits for foreign employees: changes to the rules

The rules concerning work permits for foreign employees have been changed. The procedure for applying for a permit has been modernised with the introduction of a dedicated online portal. In addition, the provisions of the Labour Code have been amended.

Work permits for foreign employees: changes to the rules 13/04/2021 Dear Clients, We would like to inform you that the rules concerning work permits for foreign employees… more

Finance Act for 2021: Main provisions concerning companies

After having explained you the most important provisions of the Finance law for 2021 concerning personal taxes, we put a spotlight on the important measures that may be of interest to managers of small businesses! Determination of tax results and corporation tax calculation, VAT, local taxes and other various measures…

FINANCE ACT FOR 2021: MAIN PROVISIONS CONCERNING COMPANIES 01/03/2021 In this second part of the finance law, we outline the most important measures that may be of interest… more

Finance act for 2021: Personal taxes

We will present below the most important provisions of the finance law for 2021 concerning Personal taxation and Local taxes and various other measures.

FINANCE ACT FOR 2021: PERSONAL TAXES 15/01/2021 We will present below the most important provisions of the finance law for 2021 concerning: Personal taxation, Local… more

Corporate vehicles and taxation

Business leaders often have difficulty choosing a type of vehicle or how to finance it when purchasing it. These choice problems are often linked to tax issues, also, to facilitate this decision-making, we have summarized below the main rules in matters of tax deductibility and recovery of VAT on vehicles.

CORPORATE VEHICLES AND TAXATION 01/02/2021 Business leaders often have difficulty choosing a type of vehicle or how to finance it when purchasing it. These choice… more

The tax consequences of Brexit on international trade

BREXIT: since January 1st 2021, all the rules set by the recent agreement entered into force. We explain here some of them, applicable to the import and export of goods and services as well as the new principles of taxation of dividends distributed between French and British companies.

THE TAX CONSEQUENCES OF BREXIT ON INTERNATIONAL TRADE 15/01/2021 The effective divorce between the European Union and the United Kingdom that occurred on December 31st 2020… more

The different categories of tourist accommodation and their regulations

Tourism activity is highly developed in France and the number of accommodation categories provided for by law is also important so that there is a regulation adapted to all types of tourist reception. On the other hand, this quantity of different denominations of accommodation structures creates a disturbance among the creators of companies who launch out in the tourist activity.

THE DIFFERENT CATEGORIES OF TOURIST ACCOMMODATION AND THEIR REGULATIONS

15/12/2020 Tourism activity is… more

Holiday Season 2020

Holiday Season 2020 07/12/2020 After a year that could easily be described as very special, complex and troubling for many people, the entire team at French Businesss Advice … more

Residence cards in France and Brexit

What are the main stages of Brexit? Its impact on the French and British population? What are the issues involved in relation to residence permits? All the answers can be found in our special Brexit dossier.

RESIDENCE CARDS IN FRANCE AND BREXIT 30/11/2020 The "Brexit" refers to the United Kingdom's exit from the European Union (EU). On June 23th 2016, in a referendum organised by… more

VAT on margin

15/10/2020 The VAT on the margin generally concerns resellers who cannot recover this tax on the purchase price of the resold good (example: second-hand goods). It consists, for the company, of collecting VAT only on the margin it makes on its buy-resale transaction. The rate to apply is the same as that for sales of similar goods in new condition.

VAT ON MARGIN

15/10/2020 The VAT on the margin generally concerns resellers who cannot recover this tax on… more

V.A.T: The reform of the distance selling regime

31/08/2020 The delivery of tangible movable property constitutes an intra-community distance sale when the purchaser, established in another Member State of the European Union is an individual or a person benefiting from the derogatory regime.

V.A.T: THE REFORM OF THE DISTANCE SELLING REGIME 31/08/2020 The delivery of tangible movable property constitutes an intra-community distance sale when the purchaser,… more

Assistance for the hiring of young people under 26 years of age

Assistance for the hiring of young people under 26 years of age 12/08/2020 For the good of your company and the support of youth employment, we would like to inform you that… more

Comparative table of the legal structures of the main companies

The tables presented here compare the main legal structures available to promoters of business creation projects.

COMPARATIVE TABLE OF THE LEGAL STRUCTURES OF THE MAIN COMPANIES UNDER FRENCH LAW 31/07/2020 The tables presented here below compare the main legal structures available to… more

Dismissal for personal reason

As our article from last month exposed the dismissal for economic reasons, it seemed necessary to us to supplement this presentation by the dismissal for the other reasons.

DISMISSAL FOR PERSONAL REASON 15/07/2020 As our article from last month exposed the dismissal for economic reasons, it seemed necessary to us to supplement this… more

Hiring assistance in open employment

Although this information is not directly related to the Coronavirus crisis, we would like to pass it on to you because it contains a hiring assistance device that could be welcome to financially support your business: the open job hiring assistance!

HIRING ASSISTANCE IN OPEN EMPLOYMENT 02/07/2020 Although this information is not directly related to the Coronavirus crisis, we would like to pass it on to you… more

Dismissal for economic reasons

Through this presentation, we will show you the main rules that an employer must know when starting a dismissal procedure for economic reasons.

DISMISSAL FOR ECONOMIC REASONS 30/06/2020 Through this presentation, we will show you the main rules that an employer must know when starting a dismissal procedure for… more

Why switch to a contactless POS terminal?

WHY SWITCH TO A CONTACTLESS POS TERMINAL? 16/06/2020 As you have maybe already heard, the regulations concerning POS terminals have changed since Monday 11 May 2020, raising… more

Continuing education... Part 2

15/06/2020 Throughout our article of April 30th we have exposed apprenticeship, the funding of continuous training, the various aspects of vocational training and the obligations of companies in the field of training. In order to have a global overview of the subject, we will complete it by giving some information on complementary points.

CONTINUING EDUCATION... PART 2 15/06/2020 Throughout our article of April 30th we have exposed apprenticeship, the funding of continuous training, the various aspects of… more

Overview of the principal information to be indicated on the 2042-IFI print (tax on real estate fortune)

Are you concerned by the Tax on Real Estate Fortune? If so, this article is made for you! You will find here an overview of the principal information to be indicated on the 2042-IFI print. And if you have any specific question, feel free to contact us!

OVERVIEW OF THE PRINCIPAL INFORMATION TO BE INDICATED ON THE 2042-IFI PRINT (TAX ON REAL ESTATE FORTUNE) 29/05/2020In March 2018, we published an article entitled “Tax on… more

News on revenue statements for 2019 year

The tax returns must be subscribed as every year by internet on the website impots.gouv.fr at the latest between June 4th and 11th depending on the administrative department of residence. The deadline for filing returns is June 4th for non-residents.

NEWS ON REVENUE STATEMENTS FOR 2019 YEAR 15/05/2020 The tax returns must be subscribed as every year by internet on the website impots.gouv.fr at the latest between June… more

Continuing education and alternating training in companies

We will very briefly recall the general principles of the taxes which finance training: Apprenticeship tax and contribution to vocational training which were developed in the previous article.

CONTINUING EDUCATION AND ALTERNATING TRAINING IN COMPANIES 30/04/2020 We now return to the subject discussed in a previous article published on our website in February… more

Emergency measures taken by the government to help French companies during the health crisis period

A set of decrees and ordinances have been issued in various legal fields (accounting, tax, social, company law) to help all companies to overcome the "coronavirus" crisis. We will try to summarize the most important ones below.

EMERGENCY MEASURES TAKEN BY THE GOVERNMENT TO HELP FRENCH COMPANIES DURING THE HEALTH CRISIS PERIOD 15/04/2020 A set of decrees and ordinances have been issued in various… more

The Micro company (update) – Micro-entreprise (actualisation)

We wish, through this article, to update and complete our previous article published on our website in 2018 who concerns very small businesses subject to income tax.

THE MICRO COMPANY (UPDATE) – MICRO-ENTREPRISE (ACTUALISATION) 31/03/2020 We wish, through this article, to update and complete our previous article published on our website… more

Social and Economic Committee (CSE)

SOCIAL AND ECONOMIC COMMITTEE (CSE) 16/03/2020 The Social and Economic Committee (C.S.E.) replaces the elected employee representatives in the company. It merges all… more

Finance act for 2020: Main provisions concerning companies

Through this second part of the finance law for 2020 we will see the main measures which concern small and medium-sized enterprises. This study will focus on the scope of the tax, the calculation of the tax result, the calculation of corporate tax, the capital gains of companies and the VAT.

FINANCE ACT FOR 2020: MAIN PROVISIONS CONCERNING COMPANIES 02/03/2020 Through this second part of the finance law for 2020 we will see the main measures which concern small… more

Finance act for 2020: Main provisions concerning personal taxation

Like each year, the French finance law has been amended for 2020. So that you can see it more clearly, we have chosen to present you today some of the main measures adopted. The provisions presented relate to the taxation of individuals and also the local taxes. We will explain in our next article the specific measures concerning companies. We hope that will interest and help you!

FINANCE ACT FOR 2020: MAIN PROVISIONS CONCERNING PERSONAL TAXATION 14/02/2020 We present below some of the main measures adopted in the French finance law for the year 2020.… more

The cost of social regime in France since the universal health protection (PUMA)

You have just settled in France and do not exercise a professional activity there, or an insignificant one, and you are wondering what would be your social cover ?

THE COST OF SOCIAL REGIME IN FRANCE SINCE THE UNIVERSAL HEALTH PROTECTION (PUMA) 31/01/2020 A certain number of people who settle in France and do not exercise a professional… more

Travel expenses deductible from the tax result of companies

Travel costs are in principle deductible insofar as they have been incurred in the interest of business. We will see the specific rules that exist however for certain categories of trips.

TRAVEL EXPENSES DEDUCTIBLE FROM THE TAX RESULT OF COMPANIES 15/01/2020 Travel costs are in principle deductible insofar as they have been incurred in the interest of business… more

Gifts in business - Tax and social consequences

We are now all preparing the Christmas season and as you know, at this time it is customary in many companies to give gifts to people in business relationships or to employees. So we wanted to recapitulate, through this article, the consequences of these gifts on the determination of the tax result as well as on the recovery of VAT for these two gift categories. Also, for the gifts to employees, we will observe the effects on social contributions.

GIFTS IN BUSINESS - TAX AND SOCIAL CONSEQUENCES At the end of the year, it is customary in many companies to give gifts to people in business relationships or to employees… more

Vehicle Tax on Companies (T.V.S.)

Most companies that own or use vehicles of a certain category, which we are going to define, must declare and pay an annual tax each year during the month of January.

VEHICLE TAX ON COMPANIES (T.V.S.) Most companies that own or use vehicles of a certain category, which we are going to define, must declare and pay an annual tax each year… more

VAT deduction : the conditions to be met to exercise it

The VAT deduction is only possible if the good or service has been acquired as part of an economic activity (usually a business) situated in the scope of VAT. The said good or service must of course not be excluded from the right of deduction. The taxpayer must also meet three cumulative conditions provided for by the general tax code (Article N ° 271).

VAT DEDUCTION : THE CONDITIONS TO BE MET TO EXERCISE IT The VAT deduction is only possible if the good or service has been acquired as part of an economic activity (usually… more

Title Private Employer Foreign (Titre Particulier Employeur Etranger - TPEE)

This title concerns non-resident persons who wish to employ a private employee for direct services to people activities. These people can join the TPEE to simplify the formalities.

TITLE PRIVATE EMPLOYER FOREIGN (TITRE PARTICULIER EMPLOYEUR ETRANGER – TPEE) This title concerns non-resident persons who wish to employ a private employee for direct… more

Repatriated employees : exemption from affiliation to French pension schemes

The decree 2019-606 of June 118th 2019 allows employees repatriated in France (which we will call now "impatriés") to be temporarily exempted from joining basic and complementary French pension plans.

REPATRIATED EMPLOYEES:

EXEMPTION FROM AFFILIATION TO…

After briefly defining the economic activities concerned by agricultural taxation, we will discuss the following points: - The various tax systems in agriculture, - Agricultural VAT systems, - Turnover tax and property tax.

GENERAL INFORMATION ON AGRICULTURAL TAXATION

After briefly defining the economic activities concerned by… more

Create a business in France in 2019

The creation of an economic activity is often a complicated operation. It must be carefully prepared because it engages the businessman for many years. We wish to summarize below the main stages of creation by referring you to the various articles that we have already published on the subject.

CREATE A BUSINESS IN FRANCE IN 2019

The creation of an economic activity is often a complicated operation. It… more

Notice of taxation on income in France

NOTICE OF TAXATION ON INCOME IN FRANCE French taxpayers will soon receive their income tax notice (between July 24th and August 7th). This document is very important because… more

Two subjects of news about taxes

Among these two topics, the first will concern investors in rental property located in the city centers and the second concerns all French residents with at least one bank account abroad.

TWO SUBJECTS OF NEWS ABOUT TAXES: --> TAX REDUCTION NAMED "DENORMANDY" ON REAL ESTATE INVESTMENT --> TEN YEARS OF RECOVERY FOR NON-DECLARATION OF ACCOUNT ABROAD … more

Main relief to the creation of Businesses

There are a very large number of helpers for entrepreneurs. We cannot quote them in their entirety, but the list of the main help below can be useful if you aim to start a business in France...

MAIN RELIEF TO THE CREATION OF BUSINESSES There are a very large number of helpers for entrepreneurs. We cannot quote them in their entirety, but the list of the main help… more

Non-Professional Furnished Rental

NON-PROFESSIONAL FURNISHED RENTAL Non-professional furnished rental meet a precise definition and are subject to a particular tax and social regime. We will briefly describe… more

The steps of hiring an employee in France

Below you will find the main formalities to be accomplished when hiring an employee in France from the recruitment phase to the establishment of the pay slip at the end of the first work period.

THE STEPS OF HIRING AN EMPLOYEE IN FRANCE Below you will find the main formalities to be accomplished when hiring an employee in France from the recruitment phase to the… more

Deductible expenses of benefits of companies in France

Below is an inventory of the main expenses that companies subject to the Industrial and Commercial Benefits (B.I.C.) or corporate income tax in France can deduct to determine their taxable income.

DEDUCTIBLE EXPENSES OF BENEFITS OF COMPANIES IN FRANCE Below is an inventory of the main expenses that companies subject to the Industrial and Commercial Benefits (B.I.C.) or… more

The Payslip in France : its description

The pay statement is, for many people, difficult to interpret. The problem is even more important for business leaders who do not speak French.

THE PAYSLIP IN FRANCE : ITS DESCRIPTION The pay statement is, for many people, difficult to interpret. The problem is even more important for business leaders who do not speak… more

Main categories of revenues to be declared on annual forms

The reporting period for annual revenues begins and it seems useful to give a brief reminder of the various income and tax deductions that may be included in these returns. The forms are three in number, they must be sent to the French administration by the website: impots.gouv.fr.

MAIN CATEGORIES OF REVENUES TO BE DECLARED ON ANNUAL FORMS N° 2042 C, 2042 RICI AND 2042 C-PRO The reporting period for annual revenues begins and it seems useful to give a… more

Direct Services for people and home services

The sector of direct services to people is expanding, it includes activities related to the assistance of people in their homes. These services concern: • Family services, • The services of everyday life, • Services to people who need special help to perform the tasks of daily life (disabled elderly etc ...)

DIRECT SERVICES FOR PEOPLE AND HOME SERVICES The sector of direct services to people is expanding, it includes activities related to the assistance of people in their homes… more

Finance Act for 2019 : main provisions concerning Companies

The second part of this finance law is devoted to the provisions concerning companies. We will limit ourselves through this article to summarize the major measures of this text. You can of course ask us for clarifications.

FINANCE ACT FOR 2019 : MAIN PROVISIONS CONCERNING COMPANIES The second part of this finance law is devoted to the provisions concerning companies. We will limit ourselves… more

Professional training in companies in the tax aspect

The purpose of this article is to present the two taxes that companies are liable to and which are intended to ensure the financing of training. These are: The apprenticeship tax and the contribution to vocational training.

PROFESSIONAL TRAINING IN COMPANIES IN THE TAX ASPECT The purpose of this article is to present the two taxes that companies are liable to and which are intended to ensure the… more

Finance act for 2019 : Main provisions concerning personal taxation

This year we are again presenting the most important provisions of the Finance Act in two parts: • Personal taxation: Presented in this article, • Corporate taxation, which will be published in a future article at the end of February. An important measure of this finance law, the introduction of withholding tax, has already been the subject of two articles, so we will not develop it here. Please, refer to these articles, here are the links: The withholding tax system/ News about the withholding tax system.

FINANCE ACT FOR 2019 : MAIN PROVISIONS CONCERNING PERSONAL TAXATION This year we are again presenting the most important provisions of the Finance Act in two parts:… more

News about the withholding tax system

We published during June 2018 an article on the WITHHOLDING TAX SYSTEM (in French "Prélèvement à la source" or P.A.S.) in anticipation of its implementation in January 1st 2019. This process is now being implemented, and many details have been provided by the administration since our last publication...

NEWS ABOUT THE WITHHOLDING TAX SYSTEM IN FRANCE We published during June 2018 an article on the WITHHOLDING TAX SYSTEM (in French "Prélèvement à la source" or P.A.S.) in… more

Exemption from "CSG-CRDS" on assets income and investment products for certain foreign persons

In a famous court affair (The DE RUYTER case), the European Court of Justice and the French State Council challenged the legality of the "CSG-CRDS" on assets incomes and investment products prior to the year 2016.

EXEMPTION FROM "CSG-CRDS" ON ASSETS INCOME AND INVESTMENT PRODUCTS FOR CERTAIN FOREIGN PERSONS In a famous court affair (The DE RUYTER case), the European Court of Justice and… more

Business obligations for death insurance and complementary health insurance

Employers are required to put in place a group death and disability benefit plan for executives (Prévoyance). In other situations, the creation of a supplementary company pension plan is optional, unless it is imposed by a branch agreement or a collective agreement. However, since January 1st 2016, all employees must be covered by a complementary health plan.

BUSINESS OBLIGATIONS FOR DEATH INSURANCE AND COMPLEMENTARY HEALTH INSURANCE

… more

Tourist Tax

TOURIST TAX Municipalities can ask holidaymakers staying in their territory to pay a tourist tax. However, the municipality is authorized to exempt certain categories of… more

The life of a business in France

Knowledge of the product, the market, an innovative idea, a concept of values, an image ... you may think that it is enough to start a business and that this is simple!

THE LIFE OF A BUSINESS IN FRANCE Knowledge of the product, the market, an innovative idea, a concept of values, an image ... you may think that it is enough to start a business… more

Deadlines for the declarations and payments the social contributions of companies in France

We propose below an agenda for a year by specifying the deadlines for the declaration and payment of various social contributions concerning companies.

DEADLINES FOR THE DECLARATIONS AND PAYMENTS THE SOCIAL CONTRIBUTIONS OF COMPANIES IN FRANCE We propose below an agenda for a year by specifying the deadlines for the declaration… more

Tax Deadlines of companies in France

We propose below an agenda for a year by specifying the deadlines for the declaration and payment of various taxes concerning companies.

TAX DEADLINES OF COMPANIES IN FRANCE

We propose below an agenda for a year by specifying the… more

Taxe d'Habitation and Taxe Foncière / Property taxes

The owners of a professional or residential building in France receive at this time a notice of "TAXE FONCIERE". Similarly, people occupying a home will soon receive a notice of "TAXE D’HABITATION". We will give you some details about the main features of these two taxes.

THE ESSENTIAL ELEMENTS TO UNDERSTAND THE “TAXE FONCIERE” AND THE “TAXE D’HABITATION”

The owners… more

The Main Formalities to set up a business in France

France is renowned for its complexity in legal matters when setting up a company. We’ll try to explain clearly the main steps to follow for the installation of a company. Here we can only develop the most common procedures knowing that it will vary along with the cost depending on your personal situation, the planned activity and the project.

THE MAIN FORMALITIES TO SET UP A BUSINESS IN FRANCE

… more

Foreign Firm Slip / Titres Firmes Étrangères (T.F.E.)

T.F.E. is an optional service for foreign companies that employ in France and do not have any establishments in that country. This device is only intended to simplify the social formalities related to the employment of workers for these companies.

FOREIGN FIRM SLIP / TITRES FIRMES ETRANGERES (T.F.E) T.F.E. is an optional service for foreign companies that employ in France and do not have any establishments in that country… more

Declaration of Exchanges of Goods (DEB) and European Declaration of Services (DES)

Trade within the E.E.C. is free, without formalities and without border controls. However, companies are required to provide customs services monthly with a Goods Exchange Declaration (D.E.B.) for the exchange of goods or a European Service Declaration (D.E.S.) for trade in services. This formalism allows the administration to compile statistics and track intra-Community flows, especially for T.V.A.

DECLARATION OF EXCHANGES OF GOODS (DEB) AND EUROPEAN DECLARATION OF SERVICES (DES) Trade within the E.E.C. is free, without formalities and without border controls. However,… more

French Transition to the “Pay-As-You-Earn” Withholding Tax System

From 2019, the "Prélèvement à la source" (P.A.S.) will be applied to almost all the income of French taxpayers. This concerns people in activity (employees or self-employed) as well as retirees. To date, taxpayers are taxed on income earned the year before. From 2019 the tax will be directly deducted by the employer or the paying agency at the time of the payment of the income to the taxpayer.

FRENCH TRANSITION TO THE "PAY-AS-YOU-EARN" WITHHOLDING TAX SYSTEM From 2019, the "Prélèvement à la source" (P.A.S.) will be applied to almost all the income of French taxpayers.… more

The Balance Sheet in French Standards translated into English

In our previous article, we produced a profit and loss account translated into English to make it easier for English-speaking managers to read a company's accounting documents. Our information would be incomplete if it was limited to this one document, this is why we are now publishing a balance sheet presented to French accounting standards translated into English.

THE BALANCE SHEET IN FRENCH STANDARDS TRANSLATED INTO ENGLISH In our previous article, we produced a profit and loss account translated into English to make it easier for English… more

The Profit and Loss Account in French Standards translated into English

We have established below a standard income statement with the most common items with their translation into English

THE PROFIT AND LOSS ACCOUNT IN FRENCH STANDARDS TRANSLATED INTO ENGLISH English-speaking managers who run French companies or establishments of foreign companies located in… more

Some Legal or Fiscal terms commonly used in France and their translation in English

To help Anglophone investors better understand French law, we will try to give a translation as expressive as possible of some legal terms in three areas: Tax, Company law, Social right. The translations will be supplemented by links that will lead you directly to the articles already published (if any) on our website that deal with the subject concerned.

SOME LEGAL OR FISCAL TERMS COMMONLY USED IN FRANCE AND THEIR TRANSLATION IN ENGLISH To help Anglophone investors better understand French law, we will try to give a translation… more

Taxes in France

TAXES IN FRANCE

There are a large number of different taxes in France. We will briefly introduce the most common.

We can classify them into… more

Setting up a Small Business in France

The creation of a small business in France involves many choices that the creator must make at the time of incorporation. These choices are mainly at three levels: Legal (company structure), Fiscal, Social (status of the entrepreneur).

SETTING UP A SMALL BUSINESS IN FRANCE The creation of a small business in France involves many choices that the creator must make at the time of incorporation. These choices are… more

Tax on Real Estate Fortune (Impôt sur la Fortune Immobilière)

This is a new wealth tax that applies to people with real estate assets worth more than € 1,300,000. It enters into force as from 1 January 2018. In return, the I.S.F. has just been removed.

TAX ON REAL ESTATE FORTUNE This is a new wealth tax that applies to people with real estate assets worth more than € 1,300,000. It enters into force as from 1 January 2018. In… more

The regulations on the cash register softwares

New rules on cash register software are applicable since January 1st 2018 to all VAT taxable persons. First, we need to define a cash register software: It is a computerized system in which a taxable person records deliveries of goods or services that are not billable. It is therefore a computerized system where the taxable person records transactions with his non-taxable customers.

THE REGULATIONS ON THE CASH REGISTER SOFTWARES New rules on cash register software are applicable since January 1st 2018 to all VAT taxable persons. First, we need to define a… more

The French Finance Act For 2018 - Individuals changes

The great novelties of the finance law for 2018 are: The establishment of a uniform tax rate on income from savings and capital gains on securities and the tax relief on the “housing tax”

THE FRENCH FINANCE ACT FOR 2018 - INDIVIDUAL CHANGES The great novelties of the finance law for 2018 are: The establishment of a uniform tax rate on income from savings and… more

The French Finance Act For 2018

The Finance Act for 2018 and the two amended Finance Acts for 2017 provided for new provisions of interest to companies.

THE FRENCH FINANCE ACT FOR 2018 The Finance Act for 2018 and the two amended Finance Acts for 2017 provided for new provisions of interest to companies. Certain provisions are… more

Principles of VAT Taxation of services in Europe

PRINCIPLES OF VAT TAXATION OF SERVICES IN EUROPE Intra-European services are divided into two broad categories: Services performed between taxable persons (B to B) located in… more

Vat and intra-Community Trade in goods and other furniture

The European Union is an area without borders. Thus, the concept of import or export disappears when it comes to the exchange of goods from one country to another within the EEC.

VAT AND INTRA-COMMUNITY TRADE IN GOOD AND OTHER FURNITURE The European Union is an area without borders. Thus, the concept of import or export disappears when it comes to the… more

Avoid Double Taxation in France of Foreign Source Revenues

Persons engaged in economic activities or residing in more than one country sometimes face complex taxation rules. These persons must thus verify whether they are not subject to double taxation.

AVOID DOUBLE TAXATION IN FRANCE OF FOREIGN SOURCE REVENUES

Persons engaged in economic activities or residing in more than one country sometimes face complex taxation… more

Territorial Economic Contribution

TERRITORIAL ECONOMIC DISTRIBUTION

The TERRITORIAL ECONOMIC CONTRIBUTION (CET) is due by all industrial or commercial companies operating an activity in… more

Various Forms of Breach of the Work Contract

There are different forms of breach of work contracts in France. In this article you will find the main forms and the steps to follow. It can be a dismissal for personal reason a dismissal For economic reasons or a conventional break

VARIOUS FORMS OF BREACH OF THE WORK CONTRACT There are different forms of dismissal in France such as dismissal for personal reasons, dismissal for economics reasons or… more

The Tools of Defiscalization in France

Taxpayers taxed on income tax in France have a broad mechanism to reduce the amount of their tax. Through this article we will mention the main investments or expenses deductible from income or generating tax reductions or tax credits

THE TOOLS OF DEFISCALIZATION IN FRANCE Taxpayers taxed on income tax in France have a broad mechanism to reduce the amount of their tax. Through this article we will mention… more

Macron ordinances

The French government has just published ordinances in the official journal. This is a vast reform of the labor code that is very difficult to summarize. We will show you some excerpts from the text below, but it is essential for anyone interested in this topic to contact a chartered accountant who can comment on the text in detail.

THE MACRON ORDINANCES: STARTING POINT OF THE REVISION OF THE FRENCH LABOR CODE The French government has just published ordinances in the official journal. This is a… more

Investing in Business in France

As in any other European country, any person who is a national of another EEC country may become a craftsman, merchant or company manager in France under the same conditions as a French national. It should be noted, however, that in order to practice a regulated profession, a French diploma or its equivalent will be required. But, besides starting a business, there are several other possibilities to invest in business in France.

INVESTING IN BUSINESS IN FRANCE As in any other European country, any person who is a national of another EEC country may become a craftsman, merchant or company manager in… more

Investing in Real Estate in France

There is a wide range of possible structures, an accountant can help you to make that choice.

INVESTING IN REAL ESTATE IN FRANCE I- Furnished property or hotel residence: Income taxation: The applicable regime is "B.I.C." (Industrial and commercial profits). Thus,… more

Hiring an Employee in France

Hiring and drafting of employment contracts and pay slips

HIRING AN EMPLOYEE IN FRANCE In companies, hiring, drafting of employment contracts, pay slips, calculation and declaration of social contributions and all other operations… more

Social Contributions For Independent Workers In 2021

Image Credits: MangoMatter Media SOCIAL CONTRIBUTIONS FOR INDEPENDENT WORKERS IN 2021 Updated on 31/03/2021 Compulsory health coverage for self-employed workers is now… more

Which tax regime to choose for an individual entrepreneur

WHICH TAX REGIME TO CHOOSE FOR AN INDIVIDUAL ENTREPRENEUR Updated on 30/04/2021 The two main tax systems applicable to an individual enterprise are: “Micro” tax… more

Annual General Meeting in SARL

ANNUAL GENERAL MEETING IN SARL The partners of French SARLs must approve the financial statements by a general meeting which must be held within six months of the closing date of… more

Principal Forms for Income Tax Declaration

LIST OF PRINCIPAL ANNUAL FORMS OF INCOME TAX DECLARATION IN FRANCE Updated on 15/11/2020 All taxpayers subject to income tax in France must report their income for the previous… more