Limited liability company (SARL) taxation: what you need to know

Verified 21 February 2026 - Entreprendre Service Public / (Prime Minister)

SARL is suitable for family projects, it consists of at least 2 partners whose responsibility is limited to contributions. SARL benefits from various tax breaks.

At the time of its creation, an SARL is automatically subject to thebusiness tax (IS). In other words, its profits will be taxed according to the IS.

Declaration of results

Any business liable to the IS must subscribe annual statement of results. The documents to be transmitted and the methods of declaration will depend on the tax system (real normal or real simplified) under which the business is placed.

The regime TVA real simplified shall apply to a company from 1er January of a year N  where it complies with TVA’s turnover and amount thresholds:

Threshold for duty-free turnover
  • Its turnover excluding taxes in N-1 must be between:
    • €85,000 and €945,000 for business, catering and housing supply activities (except furnished rentals):
    • €37,500 and €286,000 for other service provision activities (including furnished rentals):
  • Its turnover excluding tax realized in N shall not exceed increased thresholds following:
    • For business, catering and housing supply activities (except furnished rentals): €1 040 000
    • For other service delivery activities (including furnished rentals): €323,000

FYI  

These thresholds are valid for 2026 (year N).

Threshold on the amount of TVA due

The amount of TVA due for the year N-1 must be less than €15,000

Consequences in the event of exceedance
  • If the normal turnover threshold for the activity carried out is exceeded, or the TVA threshold due (€15,000): the company switches to the TVA normal real speed from 1er January of the year following the year of the exceedance.
  • If one of the thresholds is exceeded increased of turnover, the company shifts into the TVA normal real speed in a retroactive, that is to say that this regime will apply from 1er January of the year in which the overrun occurred. The company must then subscribe to a declaration (3) summarizing all transactions carried out during the month (or quarter). This declaration must be made the month following the month (or quarter) of the overrun.
Simplified real regime

The business under the simplified real regime must transmit the following documents :

  • Income statement No. 2065
  • Tax book (tables 2033 A to 2033 G)
  • Minutes and extracts of the shareholders' deliberations during the financial year
  • Statement of profits distributed to members and amounts or securities made available to them and having the character of distributed income
  • List of persons holding at least 10% share capital, specifying for each of them the number of shares and the holding rate
  • List of subsidiaries and participations, specifying for each of them the ownership rate and its SIRET number

The business must make its declaration by electronic means, in accordance with the procedure of its choice:

  • Either by a manual online entry form (EFI mode). The company completes it itself, connecting:

On his professional space impots.gouv.fr:

Online tax account for professionals (EFI mode)

Or on his account Portailpro.gouv. :

Business account portailpro.gouv

  • Either by going through a software of special exchange (EDI mode). In this case, the company or more generally its representative (for example a public accountant) enters all the information required and then transmits it to the administration.

These two methods of remote reporting are further detailed on the page "How to submit business tax returns: EDI or EFI? »

Please note

The tax authorities grant an additional period of 15 calendar days to carry out this teleprocedure.

Normal actual speed

The business that falls under the normal real regime must transmit the following documents :

  • Income statement No. 2065
  • Tax book (tables 2050 to 2059)
  • Minutes and extracts of the shareholders' deliberations during the financial year
  • Statement of profits distributed to members and amounts or securities made available to them and having the character of distributed income
  • List of persons holding at least 10% share capital, specifying for each of them the number of shares and the holding rate
  • List of subsidiaries and participations, specifying for each of them the ownership rate and its SIRET number
  • Detailed information on derogations from accounting requirements, changes in valuation methods and presentation of annual accounts, accrued income and accrued expenses, income and expenses shown on the balance sheet under the headings " Accrual accounts ».

The business must make its declaration by electronic means in EDI-TDFC mode. This is the electronic transmission of declarations from the accounting files, via a EDI partner (e.g. chartered accountant, specialized service provider).

The statement of result must be subscribed, in principle, within 3 months the end of the financial year. However, if the financial year is ended on 31 December or if no financial year is closed in a year, the report shall be made at the latest on 2e working day next to 1er May.

FYI  

The tax authorities grant an additional period of 15 calendar days to carry out this teleprocedure.

Tableau - Date of filing of the income statement and supporting documents

Statutory time limit

Deadline

Year ended other than December 31, 2025

Within 3 months of the end of the financial year

Within 3 months of the end of the financial year

Year ended 31/12/2025

No later than 2e working day after 1er May

19/05/2026 (taking into account the deadline of 15 additional days)

No closure in 2025

No later than 2e working day after 1er May

19/05/2026 (taking into account the deadline of 15 additional days)

In addition, the new businesses which do not take stock during their first calendar year of activity do not have to file an interim return. They shall be taxed on the results of the period from the start of their activity until the closing date of the first financial year and, at the latest, until 31 December of the year following that of their creation.

Warning  

Failure to comply with the obligation to report results by electronic means shall be penalized by an increase of 0.2% the amount of duty corresponding to the declaration filed by another process (e.g. paper). This mark-up may not be less than €60.

A business can opt for the income tax (IR) system where it fulfills all of the following conditions:

  • It is primarily engaged in a commercial, craft, agricultural or professional activity
  • It is not publicly traded
  • It employs less than 50 employees
  • She realizes a annual turnover or have a total balance less than €10 000 000
  • It must have been created since under 5 years old at the time of the option request
  • The voting rights must be held at at least 50% by one or more natural persons
  • The voting rights must be held at at least 34% by the manager and members of his tax household.

This option is valid for 5 accounting years and cannot be renewed. This option entails taxation of the income directly at the level of the shareholders, depending on the shareholding of each of them in the capital of the business.

When imposed on the RI, the business must realize its annual statement of results no later than 2e working day next to 1er May of the current year.

The business must provide:

The declaration must be made by electronic means, in accordance with the procedure of its choice:

  • Either in EDI-TDFC mode, this is the transmission of declarations from the accounting files, through a EDI partner (e.g. chartered accountant, specialized service provider).
  • Either in EFI mode, i.e. from its Professional area accessible from impots.gouv.fr.

The tax authorities grant an additional period of 15 calendar days to carry out this teleprocedure.

Payment of business tax (IS)

The amount of business tax (IS) is calculated on the basis of the income for the last financial year. The tax rate is 25% on the entire tax result.

Please note

One reduced rate 15% applicable to small and medium-sized companies with a duty-free turnover not exceeding €10 000 000 and whose capital is fully paid up and held for at least 75% by natural persons. This rate applies to the share of profits up to €42,500. Beyond that, the tax rate is 25%.

The business tax (IS) is paid in 5 installments, i.e. 4 quarterly installments and 1 balance.

The payment of each deposit is made by means of prepayment statement no. 2571, transmitted by electronic means via the EDI partner or online on the professional area of the website impots.gouv.fr.

Each deposit payment is made fixed date : 15 March, 15 June, 15 September and 15 December. Payment deadlines depend on the business year-end date.

FYI  

The business does not have to make any advance payments (IS paid in one installment) in the following cases:

  • The amount of the IS is less than €3,000.
  • The business is newly set up (first business year).
  • The business is newly subject to the IS (first tax period).

Tableau - Dates of payment of IS installments in year N

Closing date of the financial year concerned

1er down payment

2e down payment

3e down payment

4e down payment

From 20 February to 19 May N

15 June N-1

15 September N-1

15 December N-1

15 March N

From 20 May to 19 August N

15 September N-1

15 December N-1

15 March N

15 June N

From 20 August to 19 November N

15 December N-1

15 March N

15 June N

15 September N

From 20 November N to 19 February N+1

15 March N

15 June N

15 September N

15 December N

The balance is equal to the tax due on annual profits earned, less any installments already paid. Where appropriate, available tax credits are deducted.

The business must pay the balance through the balance statement no. 2572 by electronic means, at the latest the 15th of the 4the month following the end of the financial year. However, if no fiscal year is ended during the year or if the fiscal year is ended on December 31, the business must pay the balance by on 15 May of the following year.

Please note

Where the IS shows an overpayment, this surplus is automatically repaid at the business within 30 days of the deposit of the balance statement. The excess may also be charged to the first installment of the following financial year.

Tableau - IS Balance Payment Date

Closing date of the financial year concerned

Balance

31 December N-1

15 May N

During year N

The 15th of 4the month after closing

The SARL manager can collect different types of income : a remuneration for his corporate office, dividends if he is a partner, or even interest on sums paid into a partner's current account.

Please note

Each of these revenues is subject to theincome tax (IR). One abatement from 10% or a deduction from the amount of the actual expenses (accommodation, meals, travel,...) of the executive officer) is applied before the tax is calculated.

Remuneration under the corporate mandate

The functions of manager can be free or remunerated. Remuneration is freely fixedeither by the articles of association, or by the decision of the members, or by any body of the business. Remuneration may be fixed or variable.

The director shall declare such remuneration as: salaries and wages » in his personal income tax return.

Please note

Such remuneration shall be considered as deductible expense the tax outcome of the business.

Dividends

Where the manager has subscribed to the capital of the business, he may, in his capacity as a partner, receive dividends. These dividends give rise to one of the following methods of taxation, of your choice:

  • Single flat-rate levy (PFU) : default regime, dividends are subject to a levy of 12.8% to which are added 18.6% social levies.
  • Progressive scale of income tax : optional regime, dividends are included in the income tax base of the executive officer after application of a abatement from 40%. All the income of the manager will then be taxed according to his tax bracket (from 0 à 45%).
Tableau - 2025 progressive income scale

Income bands

Tax rate of income bracket

Up to €11,600

0%

From €11,601 à  €29,579

11%

From €29,580 à  €84,577

30%

From €84,578 à €181,917

41%

More than €181,917

45%

In either case, the director must declare the dividends received in his personal income tax return as « income from movable capital ».

Current account interest

The associate current account is analyzed as a loan granted to the business by a partner. It may be remunerated, as a bank loan, by the payment ofinterest to this associate. The interest rate is fixed by the articles of association or by the current account agreement concluded between the business and the partner.

Current account interest is subject to the flat-rate levy (PFU) or the progressive income tax scale, under the same conditions as dividends. They shall be declared as ‘ income from movable capital ».

When the business has opted for income tax (IR), the profits it makes are imposed at the level of partners. Each partner is taxed on the share of the profit that corresponds to the number of shares he holds in the business, as income tax in the category of industrial and commercial benefits (BIC).

In addition, the remuneration received by the director (partner or not) in respect of his corporate office is taxed in the category of « salaries and wages ».

All the income of the manager will then be taxed according to his tax bracket (from 0 à 45%).

A limited liability company (SARL) may be liable for a number of taxes. The main taxes are:

  • (TVA)
  • Company Property Tax (CFE)
  • Contribution based on the added value created by the company (CVAE)

Other specific taxes may also be added, such as local tax on outdoor advertising or the preventive archeology tax, for example.

TVA

In principle, the business collects it value added tax (TVA) on each of the sales and the services it provides. Then, it must donate the TVA collected to the tax authorities.

The TVA's reporting and payment requirements vary under the tax system to which the business is subject:

  • Franchise based on TVA : the business has a duty-free turnover of less than €37,500 for the provision of services or less than €85,000 for trade and accommodation activities.
  • Simplified real regime : the business has a duty-free turnover between €37,500 and €286,000 for the provision of services or between €85,000 and €945,000 for trade and accommodation activities. In addition, the annual amount of TVA collected must be less than €15,000.
  • Normal actual speed : the business has a duty-free turnover of more than €286,000 for the provision of services or €945,000 for trade and housing supply activities. In addition, the business is also subject to the standard scheme where the annual amount of TVA collected is more than €15,000 (even if the amount of turnover is within the thresholds of the simplified real scheme).
Franchise based on TVA

The business that benefits from the TVA-based franchise is exempt from TVA declaration and payment on the sales and services it performs. Thus, sales or services are invoiced without TVA, that is to say excluding tax.

By benefiting from the TVA deductible scheme, the business cannot deduct the TVA which it has itself paid on purchases it has made in the course of its professional activity.

FYI  

Each invoice issued by the business shall state: " TVA not applicable - article 293 B of the French general tax code (CGI) ».

Regardless of the amount of its annual turnover, the business may opting for TVA payment and charge it to its customers. This will allow him to recover deductible TVA on professional expenditure.

The request for an option must be made in writing to the company tax service (SIE) on which it depends. The option takes effect on 1er the day of the month in which it is declared.

Who shall I contact
Simplified real regime

The business must realize an annual statement from TVA, no later than 2e working day next to 1er May, by means of form 351712. This return must summarize all taxable transactions of thecalendar year previous.

Please note

When the company's accounting year does not coincide with a calendar year (the year is not ended on 31 December), then the TVA declaration must be made within 3 months of the end of the accounting year.

In addition, the business must pay the collected TVA in 2 installments :

  • In July, 1er prepayment of 55% of TVA due in respect of the previous financial period
  • In December, 2nd prepayment of 40% of TVA due in respect of the previous financial period.

The remaining amount to be paid will have to be paid at the time of TVA's next year's declaration.

Please note

The TVA prepayment dates can be consulted in the professional area of the business, on the website impots.gouv.fr, via the service " Declare the TVA ».

For the new companies, it is not possible, in respect of the establishment exercise, to determine the installments in relation to the previous financial year.

In this case, the installments are calculated as follows:

  • the july deposit must be equal to 80% of the TVA actually due in respect of the previous period or half-year.
  • the december deposit must be equal to 80% of the TVA actually due in respect of the previous period or half-year.

Of examples are available on the website impots.gouv.fr.

The business must make his declaration and the payment of the installments by electronic means, in accordance with the procedure of its choice:

  • Either by a manual online entry form (EFI mode). The company completes it itself, connecting:

On his professional space impots.gouv.fr:

Online tax account for professionals (EFI mode)

Or on his account Portailpro.gouv. :

Business account portailpro.gouv

  • Either by going through a software of special exchange (EDI mode). In this case, the company or more generally its representative (for example a public accountant) enters all the information required and then transmits it to the administration.

These two methods of remote reporting are further detailed on the page "How to submit business tax returns: EDI or EFI? »

Please note

The tax authorities grant an additional period of 15 calendar days to carry out this teleprocedure.

Normal actual speed

Every month, the business must declare and pay the TVA collected in the previous month, by means of form no. 33103.

Where the amount of the net TVA due is less than €4,000, the business may opt for the submission of a TVA declaration every quarter.

Please note

The TVA monthly and quarterly filing dates can be consulted in the professional area of the business, on the website impots.gouv.fr, via the service " Declare the TVA ».

The business must make his declaration and the payment of the installments by electronic means, in accordance with the procedure of its choice:

  • Either by a manual online entry form (EFI mode). The company completes it itself, connecting:

On his professional space impots.gouv.fr:

Online tax account for professionals (EFI mode)

Or on his account Portailpro.gouv. :

Business account portailpro.gouv

  • Either by going through a software of special exchange (EDI mode). In this case, the company or more generally its representative (for example a public accountant) enters all the information required and then transmits it to the administration.

These two methods of remote reporting are further detailed on the page "How to submit business tax returns: EDI or EFI? »

Please note

The tax authorities grant an additional period of 15 calendar days to carry out this teleprocedure.

CFE

The company property tax (CFE) is a local tax payable by any business habitually exercising a self-employed professional activity and achieving an annual turnover greater than €5,000.

Depending on its location or the activity it carries out, the business can benefit from a permanent or temporary exemption from CFE.

Please note

THEyear of its creation, the business must carry out a declaration 1447-C-SD (so-called initial declaration) to benefit from a full exemption from CFE. The declaration must be sent by post, before 31 December, the company Tax Office (SIE) on which it depends so that the tax elements are established for the following year.

The CFE business liable receives a dematerialized tax notice (and not by post) on its professional area accessible from impots.gouv.fr. The tax assessment shall indicate the amount of the CFE and the time limit for its payment.

Payment terms vary depending on amount of CFE paid in the previous year by business.

CFE less than or equal to €3,000

The amount of the CFE must be paid no later than 15 december.

FYI  

When the CFE payment or direct debit deadline coincides with a Saturday, Sunday or public holiday, it is extended to 1er business day next.

The business has the choice between:

  • Payment on the internet via the online tax account : default method of payment, the business itself makes the online payment of the contribution. This mode is mandatory for companies under the DGE.
  • Monthly levy : optional payment method, the business is automatically debited every 15th of January to October. Each levy is one tenth of the CFE amount. The option is possible until June 30.
  • Direct Debit at Maturity : optional payment method, the business is automatically debited at maturity. The option is possible until November 30.
CFE over €3,000

The business must pay a down payment equal to 50% of the CFE paid the previous year. The amount of the deposit is indicated on a advance payment notice dematerialized, available on the online tax account business.

The deposit must be paid between 15 May and 15 June 2026.

The remaining balance of the CFE must be paid by 15 December 2026.

FYI  

When the CFE payment or direct debit deadline coincides with a Saturday, Sunday or public holiday, it is extended to 1er business day next.

The business has the choice between:

  • Payment on the internet via the online tax account : default method of payment, the business itself makes the online payment of the contribution. This mode is mandatory for companies under the DGE.
  • Monthly levy : optional payment method, the business is automatically debited every 15th of January to October. Each levy is one tenth of the CFE amount. The option is possible until June 15th.
  • Direct Debit at Maturity : optional payment method, the business is automatically debited at maturity. The option is possible until May 31 for the deposit and until November 30 for the payment of the balance.

CVAE

The company value added tax (CVAE) is a local tax payable by any business liable to the CFE and that achieves more than €500,000annual turnover excluding tax.

Moreover, a business whose turnover is greater than €152,500 must perform a declaration of added value and number of employees, even if it does not have to pay the CVAE. The declaration is made online, from theprofessional area on impots.gouv.fr.

In addition, the business owed by the CVAE must pay it on its own initiative, it does not receive tax notices.

Payment terms vary depending on amount of CVAE paid in the previous year by the company. The threshold is set at €1,500.

CVAE less than or equal to €1,500

The CVAE is paid in one go when carrying out the declaration of liquidation and regularization (also called definitive liquidation of CVAE), via the Form No. 1329-DEF.

This declaration shall take place no later than 2e working day next to 1er May of the year following the year of taxation.

Example :

The CVAE due for 2024 shall be paid by remote payment by 3 May 2025.

CVAE over €1,500

The CVAE is paid in 2 installments, via the Prepayment statement No. 1329-AC-SD :

  • one first down payment equal to 50% of the CVAE due, not later than June 15 of the taxation year
  • one second down payment equal to 50% of the CVAE due, not later than September 15 of the taxation year.

Example :

A company paid €4,800 CVAE in 2024. In 2025, she must therefore pay her CVAE as 2 down payments : one on 15 June 2025 and a second on 15 September 2025.

In the event of excess due to overpayment of installments, this is reimbursed by the tax authorities, less any other direct taxes that may be due.

In addition, the business must carry out a declaration of liquidation and regularization (also called definitive liquidation of CVAE), via the Form No. 1329-DEF. This declaration shall take place no later than 2e working day next to 1er May of the year following the year of taxation.

The business must pay the CVAE by electronic means, in accordance with the procedure of its choice:

  • Either in EDI-TDFC mode, this is the transmission of declarations from the accounting files, through a EDI partner (e.g. chartered accountant, specialized service provider).
  • Either in EFI mode, i.e. from its Professional area accessible from impots.gouv.fr.

A limited liability company (SARL) may benefit from various tax breaks (non-exhaustive list), whether:

A natural person who subscribed in cash to the capital of a business may benefit from IR-PME tax reduction equal to 18% payments made to the business.

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