Is tax already included in social charges?

nic13

2 Aug 2013 at 01:06 · Viewed 2225 times

In a previous answer you outlined the social charges for an entreprise Individuelle:

Entreprise individuelle
Liable to TVA, social charges representing about 46% of your net profit, i.e sales - expenses. It is best with this system to keep the travelling expenses on this business, in order to reduce your net profit. If you use your personal car to travel, you could also pay yourself indemnités kilometriques (mileages expenses). These are seen as expenses for the business and are a good way to increase your income without paying too much social charges. For example:

Turnover 70000

Expenses 15000

20000 kilometres/year x 0.40 euros, is 8000 euros of indemnités paid to you

Net profit = 47000

Social charges 21620

Is taxation still applicable in this case or is tax already included in the social charges?

Answered