French Tax

How does the French Tax system work?

In the U. K. when you set up a business you have a few key decisions to make - the first of those being the status of the company - generally your choice being do you want a Limited Company or to trade as a sole trader or partnership

In France although you have the same "headline categories" you also have sub categories such as "family partnerships", "micro enterprises" etc.

To confuse things even more depending upon the type of business you are running you need to register your business with different authorities.

Although it is possible to change your registration in the future it is important that you select the most appropriate "set up" at the start.

Once you have decided upon how you want your company to be registered your application can take several weeks (or months in some cases) - and you are not permitted to commence trade or to open a business bank account until such time as your registration details are received.

The way that your Tax is calculated is dependant upon the way that your business has been set up.

When you are developing your business plan and budgets you will need to be aware of the compulsory insurances that you will need to pay and the tax that you will be liable for Value Added Tax registration may also be necessary in a similar manner to in the U. K. depending upon your level of turnover and the type of business that you operate.