AE cotisations for non tax payers

I just thought I'd see if you all knew that if you don't pay 'impôt sur le revenu' then the rate of cotisations you pay should be lower. It's 12% for 'vente de marchandises' and 21.3% for 'prestations de services'. You have to ask for the reduction in writing and I was told to write to URSSAF in December, which I did and now I pay less than I did last year. Result!

Ok, I opted for the 'Vous n'avez pas opté pour le versement libératoire de l'impôt sur le revenu' so I don't pay as much. Unfortunately they then sent me a bill! Last year they wanted an extra €235 off me, I showed them all the paperwork and they said that I had to pay! Beware, you may get a bill like me. I'm trying to opt back in so I don't get a nasty shock like last year. I do not earn enough to pay ta either.

aïe ! the four years I was an AE I paid and was reimbursed a certain amount at the end of the year, 500€ if I remember correctly ;-)


What percentage are you paying in your cotisations and do you pay impot sur le revenu?

When you sign up as an AE, if you opt for "versements libératoire de l'impôt sur le revenu" then the percentage of your turnover which you pay in cotisations is higher to automatically collect the tax. If you don't earn enough to be subject to income tax then you are paying it unnecessarily. I was advised to do it to get of paying CFE/taxe prof for the first 3 years, but it seemed a good idea to opt out now. If your earnings do make you subject to income tax after all, then you pay them when you receive your demand and, as far as I can remember, you can pay it in instalments.

I didn't Andrew and was told that what I had paid was not refundable.

This is what I put in my letter "


Je voudrais savoir comment faire par rapport à l’impôt sur le revenu, parce que nous ne nos sommes pas imposables. Puis je modifier mes déclarations et annuler les versements libératoire de l'impôt sur le revenu et puis-je récupérer les impôts que j’ai déjà payé ?

Je vous prie de croire, Messieurs, en l’assurance de mes sentiments distingués."

I don't guarantee that the French is perfect but it did the trick.

I am being thick, but surely all AEs are paying 'Impot sur le Revenu' can someone give me an example so my little brain can cope?

nice to know but not a great change really as you get back what you've overpaid at the end of the year ;-)

Fantastic, can you show us the legislation we need to quote please?

Thank you Wendy - helpful as always. However, I don't understand - our earnings since becoming AE last June are low (hoping this year will be better) so not sure what it is you are suggesting. Brain a bit slow as am on antibiotics for tooth abscess.

Wendy, I have lived here over 20 years now and this country still amazes me. Thank you for posting this. If people don't tell us then how are we supposed to know ? I never earn enough to pay tax !!!!

Excellent info Wendy - thank you!