Tax Submissions for the Self Employed

Self-employed? The question of the form of self-employment arises above all when setting up a business. It also plays a role in the profitability of self-employment, as it depends on the taxes you pay and how you can save as a self-employed person. The following section explains how the different independent activities are delimited from each other.

Self-employed

These two concepts are frequently used and this is also the reason why they are confused. The status of auto-entrepreneur has also been reclassified as a micro-entrepreneur, and aims to simplify the procedures for small independent activities. This auto-entrepreneur status allows in particular exercising an activity in addition to a main activity. You can click here for the best result.

But what are the criteria to be fulfilled to become a self-employed person? It is first of all a question of turnover. Indeed, the latter (the amount excluding tax collected during the year) must not exceed the thresholds defined by the tax regime of the micro-enterprise. If your turnover exceeds these thresholds, you will be subject to the sole proprietorship tax regime.

In the event that the micro-entrepreneur exercises several different activities, a declaration of each of them is not necessary. We look at the overall result of the so-called “mixed” activity (addition of the turnover of the different activities). 

Specificities of the self-employed person

As a self-employed person, you do not need to register your company in the trade and companies register (RCS). Social charges follow a specific tax regime (payable by monthly or quarterly withholding tax). Collections are not subject to value added tax. It also means that you cannot deduct the latter from your disbursements. 

The company is exempt from business tax for the first two years after creation, if you have opted for a discharge payment. A self-employed person can protect his personal assets with a declaration of exemption from seizure with the notary, and interrupt his activity without going through tedious administrative procedures and procedures.

The self- employed worker

The self- employed worker, as his name suggests, carries out an economic activity on his own account and is thus not subordinate to a hierarchical superior. Freelance is also frequently used to designate the status of a self-employed worker. In general, a person working in Freelance often sees his activity associated with a well-defined mission, and in practice as a service contract. The term self-employed is itself perceived more generally, and refers to a multitude of professions. Before becoming a self-employed person, it is necessary to define precisely an idea, to carry out a market study, and to evaluate the financial and material means necessary. Finding the right form of funding could also help you in your project for example.

Conclusion

As a self-employed person, you do not escape the choice of a legal status and a tax regime (micro-enterprise or real simplified regime). You must also have a registration in the trade and companies register. You can of course use a legal assistance service.