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Taxation
Personal services: the exemption from the exclusive activity condition will be extended to micro-companies in 2025
Publié le 06 août 2024 - Directorate for Legal and Administrative Information (Prime Minister)
From 1er January 2025, individual contractors and companies with fewer than 11 employees will, under conditions, be exempted from the requirement to be engaged exclusively in a personal service activity (SAP) in order to benefit from tax advantages. The conditions for benefiting from these exemptions have just been published.
As a reminder, the 2024 budget law extends, from 2025, the exemption from the exclusive activity requirement to sole proprietors (micro-BIC and micro-BNC) and companies with less than 11 employees principally engaged in personal service activities.
The companies provided:
- will benefit from a 10% VAT (reduced rate);
- provide their customers with a home-based employee employment tax credit.
The decree of 25 July 2024 specifies the conditions for receiving these benefits.
What conditions?
The Order sets out the conditions to be met in order to benefit from an exemption from the condition of the exclusive operation of AMPs.
Thus, the companies concerned must:
- to generate turnover from ancillary activities less than or equal to 30 % of total turnover the previous calendar year;
- set up a separate accounts for the provision of personal services ;
- inform their main and ancillary turnover and their salaried staff. This information will be reported in the annual statistical table and the quarterly activity statements.
What are the consequences if these conditions are not met?
If the company does not meet the conditions, the withdrawal of registration SAP activity declaration.
The direct consequence of this withdrawal is the loss to the company of its tax advantages (the declaration of the activity allows to benefit from these advantages).