We are getting closer to the deadline to complete and return our 2011 French income tax form called declaration des revenus 2011. If you have an auto-entrepreneur or a micro entreprise, then this article will help you complete your French income tax form 2042C. If you have a SARL, EURL or entreprise indivuelle under régime réel simplifié, your accountant should help you go through the forms as part your yearly fees.
You should have received your 2011 income tax form in April or early May. However, it seems that some people that registered a new business in 2011 have not received no forms. You can download a copy of the forms from http://www.impots.gouv.fr (see direct links to forms below) or request a copy from your local Trésorerie, also called Centre des Finances Publiques.
1. Deadlines to complete your 2011 French income tax
The deadlines to return your French income tax are:
- Paper version: 31th May 2012 at midnight.
- Online declarations dates:
- 7th June for departments 01 to 19
- 14th June for departments 20 to 49
- 21st June 2012 for departments 50 to 974
Note that you will only be able to declare your 2011 French income tax online, provided you have already completed at least one paper declaration for your 2010 income tax. You need a few references from your 2010 declaration, including numéro fiscal, numéro de télédéclarant and revenu fiscal de référence (all listed on your 2010 income tax attestation). Once you have submitted this information, a certificate will be issued to you and you will be able to log in within 24 hours to complete your declaration.
2. Choosing the right forms
Here is a list of the various forms you will require to declare your income according to your personal situation:
- Declaration de revenu 2011 (form 2042)
Adding employees’ income
- Declaration complementaire de revenu 2011 (form 2042C)
Adding your auto-entrepreneur, micro entreprise, house rental or entreprise individuelle income
- Declaration des revenus encaisses à l’etranger 2011 (form 2047)
Income earned and taxed abroad
- Declaration de revenus fonciers 2011 (form 2044)
Income from rented properties
3. Adding your auto-entrepreneur turnover on the form
If you have opted for the income tax paid at source, impot libératoire (also called régime micro fiscal), you have already declared and paid your income tax on a monthly or quarterly basis for your income earned in 2011. However, you still need to declare your overall turnover on the declaration de revenus complémentaire form 2042C.
You will not be taxed again, but Impots will take into account your business income in order to assess your overall household income, called Assiette de revenus. This will for instance be taken into account to check that you can still remain within the regime micro fiscal in 2012 (26 420€ max for a single person, 52 840€ for a couple without children). Caisse d’Allocations Familiales will also take this amount into account to work out your family allowance (housing or child allowances).
3.1. You have opted for regime micro fiscal
Go to section 5 on page 2, called revenus et plus-values des professions non salaries. Go to the second sub-section entitled Auto-Entrepreneurs ayant opté pour le versement libératoire sur le revenu. Add your total turnover cashed in 2011 in the appropriate box according to your activity:
For trading activities go under Revenus Industriels et Commerciaux Professionnels (BIC)
- 5TA Vente de marchandises: add your total sales for goods
- 5TB Prestation de services et locations meubles : add your total sales for manual services and furnished houses rented
For professions liberales go under Benefices Non Commerciaux (BNC). E.g. teaching, translating, consultants, manual services.
- 5TE revenus son commerciaux : teatchers, consultants, programmers
3.2. You have not opted for regime micro fiscal
If you have not opted to pay your income tax at source, you will come under regime micro entreprise. Here is how to declare your 2011 business income on form 2042C.
For trading activities go to page 2 under Revenus Industriels et Commerciaux Professionnels. Go to regime micro entreprise, add your turnover cashed in in 2011 chiffre d’affaires brut under the relevant box:
- 5KO Vente de marchandises: add your total sales goods
- 5KP Prestation de services et locations meubles: add your total sales here for manual services and furnished houses including gites and chambres d’hotes.
For professions liberales (such as teachers, translators, consultants) go to page 3 under Revenus Non Commerciaux Professionnels(BNC). Go to the sub-section entitled Revenus declaratifs special ou micro BNC, add your 2011 turnover in box 5HQ Revenus imposables.
How income tax is calculated under regime micro entreprise
You are requested to add your 2011 sales called recettes or chiffre d’affaires, without applying any deduction or rebate. Impots will apply a standard rebate to your turnover, based on your activity, in order to calculate your taxable income called revenus fiscal.
Rebates applied to micro entreprise by activity:
- Rebate of 71% for trade (vente de marchandises)
- Rebate of 50% for services (manual services)
- Rebate of 34% for professions liberales (BNC)
If you are not sure how to declare your income, get in touch with your local Impot office to get help. Impots will clarify how to add you pension, property rental, tax credit, investments, dividends, etc. They are usually very helpful at this time of the year.
More help available on Impots' website.