What is Contribution Fonciere des Entreprises (CFE)?

By Valérie Aston on 6 December 2013 · Viewed 35752 times · Questions

Contribution Fonciere des Entreprises (CFE) is a small tax paid by businesses to local authorities (Chambre de Metiers / Chambre de Commerce / Town hall). It used to be called Taxe Professionnelle and can cost between 180 euros to 900 euros per year for a small business. The bill is sent by Impot in October / November time.

The amount of your CFE varies according to the size of your business (number employees, building, heavy machinery / plant etc.) and the town or village your business is registered in. A small business with no employees in a village may pay 300 euros, while the same activity in a big town like Lille or Paris might pay 700 euros.

All new businesses benefit from a CFE exoneration for their first year in business. So far all auto-entrepreneurs registered since 2009 have benefit from an exoneration (up to 4 year exoneration). This will change in 2014 as the Projet de Loi de Finance will define a new and hopefully fairer way to pay CFE.

As a new auto-entrepreneur / business, you will benefit from an exoneration in your 1st year. However you still have to complete the form sent by Impots requesting for extra information about your business premises.

Valerie Lemiere: Start Business in France

About the author: Valérie Aston

I've been helping people who want to start or already have a small business set up in France since 2009. After graduating from a Master of Business Administration (MBA) degree, I worked as a senior marketing consultant in the UK and France for various International companies. I worked as a conseillère en création d'entreprises (senior business advisor) for BGE here in France and run this independent business on a daily basis.