Self-employed workers are required to declare their income to the tax authorities each year, like all taxpayers. But the task is often more complicated for them. To simplify their work, the tax authorities encourage them to call on an accountant and for this, they benefit from a tax boost. Explanations
This is a tax advantage that you should not forget to claim in your income tax return. This is a specific system intended mainly for self-employed workers. Indeed, the calculation of their income, distributed into different categories according to professional activity, is complex.
For industrial and commercial profits (BIC) which apply to craftsmen, for example, we speak of turnover. For non-commercial profits (BNC), used by the liberal professions in particular, we speak of revenue. In both cases, to determine their net taxable income, it is necessary to subtract the expenses paid for the exercise of the profession.
The problem is that the rules for deducting these charges are complex and full of exceptions, which are difficult for lay people to master. That is why the administration encourages professionals to use the services of a chartered accountant and join an approved management center (CGA).
The latter’s mission is to control the work of the accountant before transmission to the tax services. The objective is to reduce and simplify the control work on the part of the administration. In return, the tax authorities grant a tax reduction to professionals who join a CGA. Individuals who carry out a non-professional furnished rental activity (LMNP) can also benefit from this tax reduction.
Are you eligible?
To benefit from this reduction, you must meet all of the following conditions:
- be subject to income tax for BIC, BNC or BA (agricultural profits),
- be a member of an approved management center or association,
- have opted for a real tax regime, even if your BIC, BNC or BA income is eligible for the micro regime.
What expenses are affected?
The basis of the tax reduction will be the total sums spent during the year to establish the accounts. That is to say the fees paid to professionals, the memberships paid to the CGA and possibly the purchase of small equipment necessary for the establishment of accounting (recipe books, etc.). Purchases of equipment considered as assets are excluded (computers, etc.).
What advantages?
The reduction is equal to two-thirds of the amounts paid by the professional. It is unchanged in 2024 and still capped at 915 euros per year and per activity, for each taxpayer. Indeed, the same person can benefit from it for each of their activities meeting the conditions and imposed in different categories (case of a person who carries out a BIC activity and a BNC having nothing to do with each other) . As this is a reduction, it must be remembered that it is only useful to people actually taxed, unlike a tax credit which is refundable.
Fill in the boxes on the income tax return
On annex 2042 C-Pro, go to page 6 to enter the amount of expenses for accounting costs in the box 7FFas well as the number of farms (in the case of multiple businesses for the same household) in box 7FG.
Joining a CGA also avoids the 25% increase in turnover or revenue (except in the event of a loss-making financial year), imposed on taxpayers who determine their own result. This increase is intended to compensate for errors and inaccuracies that may have been made. Also note that using a CGA reduces the risks of having a tax audit.