IS withholding tax: the next due date is June 15

The next installment of corporate income tax is due on June 15, 2023. The amounts to be paid by the companies concerned are determined on the basis of their results for the last financial year.

4 quarterly corporate income tax instalments

Corporate income tax is payable by most commercial enterprises.

Those subject to this tax must calculate the amount to be paid on the basis of taxable income, once thefinancial year has ended. Payment is made in 4 instalments. However, in certain situations (newly-created companies, companies with corporate income tax of less than 3,000 euros, companies newly subject to corporate income tax), it is possible to be exempted from this requirement.

The date of payment of the instalments is fixed, but the order in which they are paid varies according to the closing date of the financial year. For companies whose financial year is based on the calendar year, June 15, 2023 is the deadline for payment of the second instalment.

Calculation of corporate income tax instalments

Interim tax payments are calculated by dividing the tax due for the previous year by four, or by taxable profit.

An adjustment must be made to the second advance payment of corporation tax. When companies declare and pay this instalment, they have also made the final settlement of their corporation tax for the last financial year.

Let's take the example of a company that closes its financial year on December 31 N. It pays a first installment of corporation tax on March 15, N+1, before settling the corporation tax due for year N on April 15, N+1. The second instalment is paid on June 15 N+1. In this situation, the first instalment is calculated on the basis of the corporation tax due for N-1, as the amount of corporation tax due for N is not yet known. The second instalment, on the other hand, is calculated on the basis of the tax paid for year N. The company must therefore adjust the first instalment when declaring the second.

How do I pay my IS instalments?

Each advance payment of corporate income tax must be made electronically by completing advance payment form n°2571.

At the end of the fiscal year, companies must complete the income tax return N°2065-D, and then determine the balance of IS to be paid or the surplus to be refunded. The balance is paid using the balance statement n°2572-SD. In the event of a tax surplus, this can be reimbursed within 30 days of submission of the balance statement.

What are the penalties for late payment?

In the event of late payment, companies are liable to a surcharge of 5% of the sums due, plus late payment interest at a rate of 0.20% per month. An additional surcharge of 0.2% of the amount paid applies in the event of non-compliance with the obligation to pay by electronic payment.