OUR ACCOUNTANCY AND TAX SERVICES
We offer the following services:
- Preparation and submission of VAT returns
- Preparation of accounts
- Completion and filing of online company tax returns
- Completion and filing of CVAE-CET Tax
- Tax advice for small/medium sized businesses and individuals
- Tax advice for large sized and international businesses
- Payroll and Social Taxes completion and filling
- Resident and non-resident tax advice
BUSINESS SET UP
In France you can set up the following types of business:
- Société A Responsabilité Limitée
- Société par Actions Simplifiée
- Société Anonyme
- Société Civile Immobilière
All businesses have a legal requirement to keep full and complete books and records.
Société A Responsabilité Limitée / SARL
All Limited Companies (SARL) must file accounts once a year with Greffe de Tribunal de Commerce and the French Tax Authorities. This must be done within 4 months of the company year end. These should be prepared by a Registered Accounting Firm. A Commissaire aux Comptes (Audit) will not be required unless you meet certain levels; an example of this is a turnover exceeding €3,100,000.
Société par Actions Simplifiée / SAS
This type of company is the best choice for foreign companies starting in the French market. The great advantage of a SAS is that it can appoint a corporate director and can be held, without any problem, by a corporate shareholder. This is particularly beneficial if the parent company is located outside the EU.
You can also set up a stock-option plan with this type of company.
This type of company is the best choice if you want to float your company on the stock market in France.
Société Civile Immobilière
A Société Civile Immobilière is a Private Limited Company for Property Purposes. A SCI can hold one or more properties with the purpose of renting them out or making them available for its shareholders.
This is when you trade as an individual. This is mostly for French residents.
MAIN TAXES IN FRANCE
In France you have two main types of tax:
- Corporate Tax
- Personal Income Tax
Additionally other types of tax may apply depending on the level of income, i.e. Capital Gains Tax and Inheritance Tax.
Taxable profits are taxed at 33.33%.
A company can have a 15% corporate tax rate on profits up to € 38,120 providing they comply with the following:
- the company must be trading
- at least 75% of the capital must be owned by individuals
- share capital must be completely paid
- turnover must be less than € 7.63 million
All French businesses must charge customers VAT on the sale of all goods and services at a rate of 20%
All businesses must register for VAT except if the turnover is under €30,000. A reduced VAT rate of 10% or 5.5% may apply to certain goods and services.
VAT regulations are very complex, and must be discussed with an accountant before a business commences.
PERSONAL INCOME TAX
Personal Income Tax rates vary between 0 and 45% of net income, with the final band for income above €150,000.
CAPITAL GAINS TAX
This is due on any sale of assets and other items of a capital nature although there are many exemptions.