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Change in VAT exemption thresholds for self-employed entrepreneurs on January 1, 2025

From 2025, self-employed people will have to adapt to significant changes concerning turnover ceilings and VAT thresholds. These adjustments will have a significant impact on the tax and social security regime of many entrepreneurs. Here is a detailed analysis of these changes and the implications for micro-entrepreneurs.

New turnover ceilings in 2025

Depending on the activity carried out, the annual turnover ceilings are revised. These thresholds determine eligibility for the self-employed scheme:

  • 188 700 € : Purchase/resale activities, on-site sales and accommodation services (BIC), with the exception of non-tourist furnished rentals.
  • 77 700 € : Commercial/artisanal services (BIC) and liberal activities (BNC).

These amounts include all gross receipts collected over a calendar year. An excess over two consecutive years leads to exit from the regime on January 1 of the following year.

Consequences if exceeded

  1. Tax and Social Regime
    • Transition to the simplified or normal real tax regime.
    • Calculation of social contributions based on income from the previous year (N-1).
    • Application of strengthened accounting requirements, including maintaining a balance sheet.
  2. Organization of the Activity
    • A review of the economic model is often necessary to manage new administrative and fiscal constraints.
  3. Professional Insurance
    • A higher turnover requires the adaptation of insurance contracts, depending on the additional risks incurred.

VAT-based franchise thresholds: What changes in 2025?

The self-employed VAT exemption allows you not to charge this tax. In 2025, the new thresholds will be as follows:

  • 85 000 € for purchase/resale and similar activities (compared to €91,900 in 2024).
  • 37 500 € for the provision of services and liberal activities (compared to €36,800 in 2024).

An increased threshold, known as tolerance, applies before actual VAT liability:

  • 93 500 € for purchase/resale (compared to €101,000 in 2024).
  • 41 250 € for the provision of services (compared to €39,100 in 2024).

VAT Accountability: The Key Steps

As soon as the tolerance threshold is exceeded:

  • Obligation to request a VAT number via the professional space on impots.gouv.fr.
  • Updating invoices : Deletion of the mention “VAT not applicable, article 293 B of the CGI”.
  • Declaration and payment of collected VATmonthly or annually depending on the plan chosen.

If the excess remains one-off (year N), the excess can be maintained. On the other hand, a recurring excess over two years (N and N+1) results in VAT liability from January 1 of year N+2.

Adapting in the event of loss of self-employed status

  1. Optimization of Accounting Management
    • Calling on an accountant can be essential to ensure a smooth transition to a real regime.
  2. Price Adjustment and Customer Relations
    • The integration of VAT into prices requires a clear strategy in order to preserve competitiveness.
  3. Rethink your Economic Model
    • This transition can become an opportunity for diversification, for example by offering new services or expanding the target clientele.

The turnover and VAT ceilings constitute essential benchmarks for self-employed people. In 2025, these revised thresholds imply rigorous anticipation to avoid additional administrative and fiscal constraints. Adapting your activity at the first signs of overrun is a necessity to preserve the viability of the micro-entrepreneur status and remain competitive in a constantly evolving environment.

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