Complete Guide to the Auto-Entrepreneur Regime in France (2027)
taxe auto entrepreneur , Updated: September 15, 2026 – Auto-Entrepreneur Status, Taxes and Contributions in France
The auto-entrepreneur, officially known as the micro-entrepreneur, is an individual entrepreneur benefiting from a simplified tax and social-security regime in France.
The status is part of the micro-enterprise tax regime (micro-fiscal) and the micro-social scheme for calculating and paying social contributions. It is designed to make starting and running a small business easier by simplifying accounting, tax and social obligations.
The main advantages include:
- Simplified administrative procedures;
- Social contributions calculated directly from turnover;
- Simplified payment of income tax in certain circumstances through the versement forfaitaire libératoire;
- Access to social protection, including health and retirement rights;
- Access to professional training;
- Relatively simple business creation formalities.
The official French administration provides detailed information on the micro-entrepreneur regime and its current rules.
Who Can Become an Auto-Entrepreneur in France?
The micro-entrepreneur regime is available to individuals carrying out an eligible commercial, craft or liberal activity.
In general, the entrepreneur must:
- Be at least 18 years old, or be an emancipated minor;
- Have legal capacity to conduct the activity;
- Not be prohibited from managing or operating a business;
- Comply with any professional qualification or authorization requirements applicable to the activity;
- Have an appropriate business address or domiciliation in France where required.
The nationality rules are more nuanced than simply requiring French or EU nationality. EU/EEA nationals and Swiss nationals can generally exercise self-employed activities under the applicable freedom-of-establishment rules. Non-EU nationals may also become micro-entrepreneurs, but their immigration status must authorize the relevant self-employed activity in France.
A person can also combine micro-entrepreneur activity with certain other situations, including being:
- A student;
- An employee;
- A retiree;
- A company director, subject to compatibility rules;
- A civil servant, subject to the applicable authorization or declaration requirements.
Can an Auto-Entrepreneur Work for a Single Client?
Yes, a micro-entrepreneur can have one main client. However, the relationship must genuinely be independent.
The micro-entrepreneur should determine how the service is performed and should not be placed under the client’s permanent authority, control and disciplinary power as would be the case with an employee.
If the actual relationship demonstrates a relationship of subordination, the arrangement may be reclassified as an employment relationship.
This distinction is important even if the parties have signed a commercial service contract. The reality of the working relationship matters.
How Is Auto-Entrepreneur Turnover Calculated?
One of the most important characteristics of the micro-entrepreneur regime is that social contributions are calculated from turnover or receipts actually collected, rather than from accounting profit.
In practice, the micro-entrepreneur declares amounts actually received during the relevant reporting period.
The calculation therefore does not simply depend on invoices issued.
Depending on the activity, the declared turnover can include:
- Payments received from customers;
- Amounts received for goods or services;
- Certain tips and gratuities;
- Other business receipts that fall within the turnover calculation.
Your actual profit is not used to calculate the standard micro-social contribution.
This is one of the major differences between the micro-entrepreneur regime and a tax regime based on actual business expenses.
What Are the Micro-Enterprise Turnover Thresholds in 2026?
The thresholds were increased for 2026.
For activities carried out in 2026, the principal annual micro-enterprise thresholds are:
| Activity | 2026 turnover threshold |
|---|---|
| Sales of goods, merchandise and qualifying accommodation | €203,100 |
| Commercial and craft services (BIC) | €83,600 |
| Liberal professions (BNC) | €83,600 |
| Classified furnished tourist rentals and guest rooms | €83,600 |
| Unclassified furnished tourist rentals | €15,000 |
The €203,100 and €83,600 thresholds replaced the previous €188,700 and €77,700 thresholds from 2025.
For mixed activities, both the overall threshold and the specific threshold applicable to each activity must be respected.
For example, a business combining sales and services must monitor:
- The overall turnover ceiling applicable to the business;
- The separate ceiling applicable to its service activity.
The rules are based on turnover recorded over the relevant previous calendar years. In general, exceeding the applicable micro-fiscal threshold for two consecutive years causes the business to leave the micro-fiscal regime from the following year.
What Happens If You Exceed the Auto-Entrepreneur Turnover Threshold?
Exceeding a threshold once does not necessarily mean immediate loss of the micro-enterprise regime.
For the micro-fiscal regime, the relevant threshold generally has to be exceeded for two consecutive reference years before the business exits the regime from the following year.
For a business created during the year, the first year’s threshold is generally adjusted according to the period during which the business actually operated.
For example, if a business starts during 2026, its first-year threshold can be calculated on a pro-rata basis according to the number of days of activity.
This rule should not be confused with VAT thresholds, which operate under separate rules.
How Much Are Auto-Entrepreneur Social Contributions in 2026?
Social contributions are calculated as a percentage of turnover actually collected.
For 2026, the main rates are:
| Activity | Social contribution rate in 2026 |
|---|---|
| Sale of goods and qualifying commercial activities | 12.3% |
| Commercial and craft services (BIC) | 21.2% |
| Liberal activities / other BNC services outside CIPAV | 25.6% |
| Regulated liberal professions covered by CIPAV | 23.2% |
| Classified furnished tourist rentals | 6% |
A significant 2026 change concerns certain liberal professionals under the general social-security regime: their rate increased from 24.6% in 2025 to 25.6% from January 1, 2026.
These contributions finance different elements of social protection, including health coverage, retirement, family benefits and other social-security schemes.
What If the Auto-Entrepreneur Has Zero Turnover? taxe auto entrepreneur
If you have €0 turnover, you generally have no social contributions or income tax under the turnover-based micro system to pay on that turnover.
However, you must still submit your required turnover declaration and enter zero or “néant”.
Failing to declare simply because there was no turnover can create unnecessary administrative problems.
How Does VAT Work for an Auto-Entrepreneur in 2026?
The micro-enterprise regime and the VAT franchise (franchise en base de TVA) are related but are not exactly the same thing.
A micro-entrepreneur can benefit from the VAT franchise if the applicable VAT conditions are satisfied.
Under the current 2026 rules, the principal ordinary VAT franchise thresholds remain:
| Activity | Previous-year threshold | Current-year tolerance threshold |
|---|---|---|
| Sales of goods, accommodation and related activities | €85,000 | €93,500 |
| Services | €37,500 | €41,250 |
The planned general €25,000 VAT threshold that created uncertainty in 2025 is not the applicable general threshold for 2026. The 2026 framework retains the €85,000/€93,500 and €37,500/€41,250 structure.
This is an important distinction:
You can remain a micro-entrepreneur while becoming liable for VAT.
The micro-enterprise tax/social regime and VAT regime must therefore be monitored separately.
What Happens When an Auto-Entrepreneur Becomes Liable for VAT?
When the VAT franchise no longer applies, the entrepreneur may have to:
- Charge VAT on taxable transactions;
- Issue invoices showing the applicable VAT;
- File the required VAT returns;
- Obtain or use a VAT identification number where required;
- Collect VAT from customers;
- Deduct eligible input VAT on business purchases.
While benefiting from the VAT franchise, the entrepreneur generally does not charge VAT and cannot deduct VAT paid to suppliers.
Invoices issued under the franchise must contain the appropriate wording, such as:
“TVA non applicable, article 293 B du CGI”
The VAT rules also become particularly important for transactions with customers or suppliers in other EU Member States.
What Is the Income Tax Treatment for an Auto-Entrepreneur?
The standard micro-enterprise income-tax system does not allow the entrepreneur to deduct actual business expenses one by one.
Instead, the French tax administration applies a standard expense allowance to determine the taxable income.
The principal allowances are:
- 71% for sales of goods and certain qualifying accommodation activities;
- 50% for commercial and craft services;
- 34% for non-commercial professional activities under the micro-BNC regime.
The remaining amount is included in the household’s taxable income and is subject to the ordinary French progressive income-tax scale.
This means that a micro-entrepreneur cannot simply deduct actual expenses such as:
- Office rent;
- Software;
- Telephone costs;
- Advertising;
- Travel;
- Equipment;
- Professional subscriptions.
The fixed allowance is intended to represent business expenses.
What Is the Versement Forfaitaire Libératoire? taxe auto entrepreneur
Eligible micro-entrepreneurs can choose the versement forfaitaire libératoire, which allows income tax to be paid at the same time as social contributions, based directly on turnover.
The tax rates are:
| Activity | Income-tax rate |
|---|---|
| Sales of goods and qualifying accommodation | 1% |
| Commercial and craft services (BIC) | 1.7% |
| Liberal activities (BNC) | 2.2% |
These amounts are added to the applicable social contributions.
Eligibility depends principally on the entrepreneur’s reference taxable income from the previous-to-previous year, as well as the household’s family situation.
For example, the reference income used for an option concerning 2026 is generally based on the relevant 2024 reference tax income.
The option must normally be exercised by the applicable deadline, generally September 30 of the year preceding the year of application. A person starting a new activity has a specific deadline linked to the creation of the business.
The versement forfaitaire libératoire does not mean that the entrepreneur disappears from the annual income-tax return. Turnover still has to be reported on form 2042-C-PRO.
How Do You Declare Auto-Entrepreneur Income Annually? taxe auto entrepreneur
Whether or not you have chosen the versement forfaitaire libératoire, you must report your micro-enterprise income on the appropriate French income-tax return.
The relevant supplementary declaration is generally form 2042-C-PRO.
If you have not chosen the liberatory payment, the tax administration applies the appropriate fixed allowance to your declared turnover.
If you have chosen the liberatory payment, the turnover is reported in the section dedicated to micro-entrepreneurs who have opted for this system.
How Often Must an Auto-Entrepreneur Declare Turnover?
A micro-entrepreneur must declare turnover to Urssaf either:
- Monthly, or
- Quarterly.
The option is selected according to the applicable procedure.
The declaration concerns turnover actually collected during the reporting period.
Even where turnover is zero, the entrepreneur generally has to submit the declaration and report €0.
For a newly created business, the first declaration is subject to a minimum period before it becomes due; the exact deadline depends on the creation date and the selected monthly or quarterly schedule.
How Do You Register as an Auto-Entrepreneur in France? taxe auto entrepreneur
Creating a micro-enterprise is relatively simple.
Since the implementation of the Guichet unique, business creation formalities are completed online through the official business-formalities platform.
The registration process generally involves:
- Choosing the activity;
- Selecting the appropriate business start date;
- Providing personal and business information;
- Providing the required identification documents;
- Providing proof of business domiciliation where required;
- Completing the declaration;
- Selecting the relevant tax and social options.
The application can generally be submitted up to one month before the beginning of the activity and no later than the applicable deadline after the start date.
Official registration procedures should be distinguished from commercial websites offering paid assistance.
Is Auto-Entrepreneur Registration Free? taxe auto entrepreneur
The formalities for creating a micro-enterprise are generally free through the official government system, although certain specific activities or additional procedures may involve charges.
Entrepreneurs should therefore be cautious about unofficial websites that imitate government portals and request payment for what appears to be a mandatory registration.
Always verify that you are using the official French business-formalities platform.
What Social Contribution Rates Apply to Different Activities?
For 2026, the main rates can be summarized as follows:
| Activity | Social contributions |
|---|---|
| Sales of goods | 12.3% |
| Commercial/craft services – BIC | 21.2% |
| Liberal BNC outside CIPAV | 25.6% |
| Regulated liberal profession – CIPAV | 23.2% |
| Classified furnished tourist rental | 6% |
These rates are applied to the relevant turnover or receipts rather than to accounting profit.
The Contribution à la formation professionnelle (CFP) and, where applicable, other contributions may be added separately.
Can an Auto-Entrepreneur Pay Optional Minimum Social Contributions? taxe auto entrepreneur
In certain circumstances, a micro-entrepreneur can choose to pay minimum social contributions in order to improve or secure certain social-protection rights when turnover is low.
This option changes the calculation method and should not be confused with the standard micro-social percentage applied directly to turnover.
The decision can be particularly relevant for entrepreneurs whose turnover is irregular or very low and who want to maintain stronger social coverage.
What Is the Contribution to Professional Training (CFP)?
Micro-entrepreneurs also contribute to professional training through the CFP.
The applicable rate depends on the type of activity.
The principal rates are generally:
| Activity | CFP rate |
|---|---|
| Commercial activity | 0.1% |
| Craft activity / commercial services | 0.3% |
| Liberal profession | 0.2% |
This contribution helps finance access to professional training.
Eligibility for funding can depend on having paid the relevant contribution and meeting the conditions of the applicable training fund.
Do Auto-Entrepreneurs Pay Chamber Fees? taxe auto entrepreneur
Depending on the activity, a micro-entrepreneur may be subject to taxes or fees for chambers of commerce and crafts.
These can apply to:
- Commercial activities connected with the CCI;
- Craft activities connected with the CMA;
- Certain mixed activities.
The exact rate depends on the activity and the applicable chamber rules.
These charges should therefore be distinguished from the social contribution itself.
Does an Auto-Entrepreneur Pay CFE?
Yes. A micro-entrepreneur can be liable for the Cotisation Foncière des Entreprises (CFE).
However, the business is generally exempt from CFE for its first year of activity.
The entrepreneur must nevertheless complete the relevant initial CFE declaration to obtain the exemption.
The following year, the CFE becomes payable under the applicable rules, with the taxable base benefiting from a reduction in the first year of taxation.
An important exemption applies where the annual turnover does not exceed €5,000, subject to the applicable conditions.
The amount of CFE depends on factors including:
- The municipality;
- The business premises;
- The applicable minimum tax base;
- Turnover;
- Local rates.
Consequently, two micro-entrepreneurs with identical turnover can pay different amounts of CFE depending on where they are established.
Is a Separate Bank Account Mandatory?
A micro-entrepreneur does not automatically have to open a professional bank account simply because they have created a micro-enterprise.
However, a separate account dedicated to the business activity becomes mandatory when turnover exceeds €10,000 for two consecutive calendar years.
It is nevertheless often advisable to separate personal and business transactions even before the legal threshold is reached.
What Name Must an Auto-Entrepreneur Use on Documents?
Because the micro-entrepreneur operates as an individual entrepreneur (entrepreneur individuel), official business documents should identify the entrepreneur using the legally required EI designation.
The wording “Entrepreneur individuel” or “EI” should appear where required on professional documents.
The micro-enterprise itself is not a separate legal entity from the entrepreneur in the way a SASU or SARL is.
What Insurance Does an Auto-Entrepreneur Need?
Insurance requirements depend on the profession.
Some activities require specific professional insurance or guarantees, while others do not.
Depending on the activity, an entrepreneur may need or benefit from:
- Professional civil liability insurance;
- Ten-year construction liability insurance for relevant construction activities;
- Vehicle insurance;
- Professional premises insurance;
- Specific regulatory insurance.
Before beginning a regulated activity, it is important to verify whether compulsory insurance applies.
Is Professional Mediation Required?
When a micro-entrepreneur sells goods or services to consumers, consumer-mediation rules may apply.
Professionals must generally provide consumers with information allowing them to access an appropriate consumer mediator in accordance with French consumer law.
This is particularly important for businesses operating through websites or selling directly to individual consumers.
What Registrations Are Required? taxe auto entrepreneur
Since the creation of the Registre national des entreprises (RNE), business registration is centralized through the Guichet unique.
Depending on the nature of the activity, additional registration may apply.
For example:
- Commercial activities may also be recorded in the RCS;
- Craft activities are registered through the RNE under the applicable rules;
- Certain regulated professions require additional registration;
- Some occupations require professional qualifications, diplomas or proof of experience.
The exact requirements depend on the activity being carried out.
What Activities Require Special Qualifications?
The micro-entrepreneur regime does not eliminate professional regulatory requirements.
Some activities are regulated and may require:
- A diploma;
- Professional experience;
- Authorization;
- A professional card;
- Registration with a professional body;
- Specific insurance.
This can concern certain activities in construction, beauty, transport, healthcare, legal services and other regulated sectors.
The entrepreneur must therefore check the rules applying to the actual activity before registration.
What Are the Main Advantages of the Auto-Entrepreneur Regime? taxe auto entrepreneur
The micro-entrepreneur system remains attractive because it combines a relatively simple business structure with simplified tax and social calculations.
Its main advantages include:
- Easy online registration;
- Limited accounting requirements compared with many companies;
- Social contributions calculated from collected turnover;
- No social contribution on turnover that does not exist;
- Monthly or quarterly payment options;
- Simplified income-tax calculation;
- Optional versement forfaitaire libératoire for eligible entrepreneurs;
- Access to social protection;
- Access to professional training;
- No requirement for share capital;
- Ability to combine the activity with certain employment or personal situations.
What Are the Main Disadvantages? taxe auto entrepreneur
The simplified regime also has limitations.
Actual expenses cannot generally be deducted individually under the micro-fiscal system.
This can make the regime less attractive when the entrepreneur has substantial costs such as:
- Equipment;
- Stock;
- Rent;
- Employees;
- Vehicles;
- Subcontracting;
- Significant professional travel;
- Expensive premises.
The entrepreneur must also monitor several different thresholds at the same time, particularly:
- Micro-enterprise turnover thresholds;
- VAT franchise thresholds;
- CFE rules;
- Income-tax obligations;
- Social contribution rates.
A business can therefore remain under the micro-enterprise ceiling while becoming subject to VAT.
What Scams Should Auto-Entrepreneurs Avoid?
New entrepreneurs are frequently targeted by misleading commercial solicitations.
Be particularly careful with:
- Websites that look like official government portals;
- Requests for payment for supposedly mandatory registration;
- Fake business-directory invoices;
- Phishing emails;
- Fake Urssaf messages;
- Fake tax administration notices;
- Telephone calls requesting immediate payment.
Before paying anything, verify whether the request actually comes from an official administration or is simply a commercial service.
Auto-Entrepreneur in France 2026: Key Figures at a Glance: taxe auto entrepreneur
| Item | 2026 rule |
|---|---|
| Goods / qualifying accommodation micro threshold | €203,100 |
| Services BIC threshold | €83,600 |
| Liberal BNC threshold | €83,600 |
| Unclassified furnished tourist rental threshold | €15,000 |
| Social contributions – sales | 12.3% |
| Social contributions – BIC services | 21.2% |
| Social contributions – BNC outside CIPAV | 25.6% |
| Social contributions – CIPAV | 23.2% |
| Classified furnished tourist rental | 6% |
| VAT franchise – goods | €85,000 / €93,500 |
| VAT franchise – services | €37,500 / €41,250 |
| Versement libératoire – sales | 1% |
| Versement libératoire – BIC services | 1.7% |
| Versement libératoire – BNC | 2.2% |
| CFE exemption based on low turnover | €5,000 or less, subject to conditions |
| Dedicated bank account threshold | €10,000 turnover for 2 consecutive years |
Final Thoughts: Is Auto-Entrepreneur Still a Good Choice in France in 2026? taxe auto entrepreneur
The auto-entrepreneur status, now officially called the micro-entrepreneur regime, remains one of the simplest ways for an individual to start a business in France.
However, the regime is not simply a question of registering online and paying a percentage of turnover.
In 2026, entrepreneurs need to monitor the €203,100 and €83,600 micro-enterprise thresholds, the separate VAT franchise thresholds, social contribution rates, income-tax rules, CFE, professional training contributions and applicable regulatory requirements.
The increase of the BNC social contribution rate to 25.6% in 2026 is particularly important for liberal professionals outside CIPAV.
For someone starting a small service business, freelance activity, consulting business or online business, the micro-entrepreneur regime can offer substantial administrative simplicity. But if your activity has significant expenses, rapid growth or international operations, it may be worth comparing the micro-enterprise regime with other structures such as an EURL or SASU before making a final decision.
