Alongside the different tax categories, several tax regimes coexist. Each has its own rules for determining the result, its own reporting methods, or even its own accounting rules. The IR tax regime of a company depends on the nature of the activity carried out and its turnover. So how to calculate sales tax? The tax calculator of course!
The micro-enterprise regime
The micro-enterprise is a simplified tax and social system, generally applied to an individual enterprise which is then called “auto-entrepreneur”. EURLs with an individual partner can also opt for a micro-enterprise. The application of this advantageous tax regime is conditioned by turnover thresholds:
- 170,000 € for sales activities.
- € 70,000 for service provision activities and liberal activities.
In this case, the turnover of the micro-entrepreneur is subject to the income tax scale, after application of an allowance amounting to:
- 71% for sales activities.
- 50% for service provision activities.
- 34% for liberal activities.
This means that micro-entrepreneurs cannot deduct their expenses in real terms, unlike the real simplified and real normal regime. This is one of the main pitfalls of this regime.
Micro-entrepreneurs can also opt for the final payment of income tax. In this case, they pay their IR at the same time as their social contributions, every month or quarter.
The real simplified regime
The real simplified regime applies to companies taxed in the BIC category. It is accompanied by somewhat lightened accounting obligations. The actual simplified tax regime automatically concerns companies with annual turnover excluding tax of between:
- 170,000 and 789,000 € for sales activities.
- € 70,000 and € 238,000 for service provision activities.
- Companies subject to the micro-enterprise regime can expressly opt for the real simplified regime.
The real normal diet
The actual normal regime applies as of right to companies which generate an annual turnover greater than:
- 789,000 € for sales activities.
- € 238,000 for service provision activities.
Companies subject to the simplified real regime as of right are authorized to opt for the normal real. Accounting obligations in the real normal regime are reinforced. The real simplified plan is lighter and more suitable for small and medium-sized businesses.
The controlled declaration regime
The controlled declaration regime is in a way the real regime for companies taxed in the BNC category. The charges can be deducted from the actual.
This tax regime applies as of right to liberal professionals who achieve annual revenues exceeding € 70,000. Below this threshold, they are eligible for the micro-enterprise regime in the same way as traders and artisans.
The corporate tax system
The corporation tax is the second tax regime for corporate profits. The company subject to corporate tax pays income tax directly on its behalf. Partners are not taxed individually according to their share, as is the case with IR.