TIP: Auto-entrepreneurs beware of your turnover threshold

By Valérie Aston on 20 March 2010 · Viewed 4937 times · Questions

So for instance if you started your French business on 1st March 2010 as a marketing consultant, your maximum yearly turnover for this year is (32,100€ /12)*10= 26,750€ . URSSAF is pushing this calculation further by taking the exact number of days!

Many auto-entrepreneurs have received a letter from URSSAF informing them that they could no longer benefit from the auto-entrepreneur regime because of this rule! They will now have to move to a standard regime of entreprise individuelle. So my tip when registering your business is to write down the maxium turnover you will be able to make this year, if you want to remain under the auto-entrepreneur regime.

As a reminder, you will be able to remain an auto-entrepreneur for 2 years, provided your turnover remains within 34,100€ and 88,300€. Past that threshold you will switch to regime reel simplifie the following year (VAT registered, forfait de charges sociales, different accountancy rules). The regime micro fiscal, i.e. income tax paid at source, will be cancelled from 1st January.

TIP No2: If you start your auto-entrepreneur business along the year, check this useful turnover threshold calculator from Agence Pour la Creation des Entreprises (APCE). Indicate your activity and your starting date, you will know the maximum turnover you will be able to invoice in year one. http://www.apce.com/pid10550/les-seuils-precisions.html?espace=1


Valerie Lemiere: Start Business in France

About the author: Valérie Aston

I've been helping people who want to start or already have a small business set up in France since 2009. After graduating from a Master of Business Administration (MBA) degree, I worked as a senior marketing consultant in the UK and France for various International companies. I worked as a conseillère en création d'entreprises (senior business advisor) for BGE here in France and run this independent business on a daily basis.