Introduced on January 1, 2009, the autoentrepreneur scheme quickly became a huge success, enabling thousands of people to set up their own business every year. The micro-business system, with its far fewer advantages, quickly fell victim to this craze. So much so that on January 1, 2016, the two regimes merged to introduce a new micro-enterprise status, drawing its features from each. However, the term "autoentrepreneur", being already well-established, is resisting and is today sowing confusion in the minds of young entrepreneurs. Here are some explanations.
Is micro-entrepreneur a legal form?
A company's tax status is determined by its legal form. There are 4 distinct legal forms: + Sole Proprietorship (EI) + Limited Liability Partnership (EIRL) + Joint Stock Companies (SAS, SASU, SA, SARL, cooperatives and limited partnerships) + General Partnership (SNC).
Microenterprise is not a legal form. It is in fact a specific regime accessible within the framework of an Individual Enterprise (IE), called microsocial.
Under this system, micro-entrepreneurs benefit from advantageous conditions for declaring and paying social security contributions and taxes. Thanks to this system, also known as the simplified micro-tax system, micro-entrepreneurs are relieved of numerous management formalities. In addition, they pay social security contributions only if they generate sales.
Who can benefit from the micro-entrepreneur scheme?
Anyone wishing to set up a commercial, liberal or craft business can benefit from the microenterprise scheme.
All you need to do is meet the following criteria: + be a natural person + set up a sole proprietorship (or own an existing sole proprietorship) + carry out a craft, commercial or liberal activity on a principal or complementary basis (e.g. a student with an entrepreneurial project during their studies, or an employee or retired person wishing to have a complementary activity).
Please note: if you're an employee, you can't carry out an activity similar to that of your employer, without asking for his or her agreement.
How do I register? To set up a micro-enterprise, log on to the Internet and declare your activity. In just a few minutes, you can fill in the necessary form and send it to the Centre des Formalités des Entreprises (Business Formalities Center) responsible for your type of activity. If you prefer, you can also go to the appropriate Centre de Formalités des Entreprises in your region with all the necessary documents.
What's left of autoentreprise
Sales-based expense calculation
As a micro-entrepreneur, you can choose to declare and pay your social security contributions on a monthly or quarterly basis, in proportion to your sales. The amount is calculated as a fixed percentage of sales.
Here are the current rates for 2019: + purchase/sale of goods 12.8% + accommodation services 12.8% + supply of foodstuffs 12.8% + other commercial or craft services 22% + liberal professions 22%.
Sales ceiling
Micro-enterprise status is subject to an annual sales ceiling that must not be exceeded in 2018:
Purchase/resale of goods Sale of foodstuffs to be consumed on the premises Accommodation services (BIC) Commercial or craft services Liberal profession €170,000 excl. tax €70,000 excl. tax
If these thresholds are exceeded, the company loses its micro-tax status and becomes a conventional sole proprietorship.
VAT exemption
One of the key features of the autoentrepreneur scheme, which was retained at the time of the merger, is the VAT exemption up to a certain threshold. In effect, a micro-entrepreneur: + does not declare VAT + does not invoice VAT + does not recover VAT
This exemption is valid as long as the entrepreneur does not exceed the basic VAT exemption thresholds, i.e.: + €33,200 excl. tax for craft and commercial services and self-employed activities + €82,800 excl. tax for commercial activities.
As a result, if you exceed these thresholds by one euro, you will be liable for VAT from the 1st day of the month in which the threshold is exceeded. You will also be liable for VAT if, for two consecutive years, you fall between the VAT exemption threshold and the tolerance threshold, which are €35,200 and €91,000 respectively.
What changed at the time of the merger
Company registration with the RCS or RM
For any commercial or industrial activity, registration with the Registre du Commerce et des Sociétés (RCS) is mandatory to obtain a micro-entrepreneur Kbis.
On the other hand, since 2015, any craft activity required participation in a pre-installation training course (SPI) at the Chamber of Trades. This one-week, fee-paying course is required to register with the Registre des Métiers (RM). However, this course has been made optional since the start of 2019. So, a micro-entrepreneur artisan can decide whether or not to register with the RM and complete the SPI.
Opening a dedicated bank account
As a micro-entrepreneur, opening a bank account dedicated to your business has been mandatory since 2015. You must transfer every receipt and expense relating to your business to this account, and then make deductions for your remuneration by check or bank transfer to your personal account.
You don't need to open a business account to run a micro-business. However, the Anytime pro offer gives you all the benefits of a pro account at a particularly affordable rate. Please note: since the start of 2019, it is no longer compulsory to open an account for a micro-business with annual sales of less than €5,000.
Payment of CFE
The Cotisation Foncière des Entreprises (CFE) replaces the taxe professionnelle. Micro-entrepreneurs are subject to this tax, in the same way as any other business creator. They no longer benefit from a 3-year exemption.
Important points to remember about the CFE: + it is calculated on the basis of the rental value of the assets used by the business in year N-2 + if you operate from your home, the value taken into account is the one you declared when you set up your business (declaration 1447-C-SD) + if the rental value of the assets is very low, a minimum contribution is set. This is calculated from a base set by the municipality or EPCI (établissement public de coopération intercommunale) + you are subject to CFE from the second year of business (the year following the one in which you make your first payment). Under certain conditions, you may be eligible for CFE exemption.
