Auto-entreprise and VAT (TVA)

As an auto-entrepreneur you are not obliged to take VAT from your clients for the government, till your yearly turnover is within the following limit :

  • 32800 euros if you are selling a service
  • 82800 euros if you are selling products

Once your turnover have crossed this, you have to collect VAT from your clients. However, care has to be taken that your overall turnover does not cross the authorised limit as discussed above. As if it does, you will have to pay VAT for whatever income you have got from the beginning of year, even if you have not collected that from your clients.

The good thing about being an auto-entrepreneur is that, since you are not obliged to collect VAT from your clients, you can offer a cheaper rate to your clients, especially if your clients are private individuals. This would be a good help while you begin your career as an auto-entrepreneur.

To understand how VAT works, read our article on that.

Author : Sourav Choudhury

Sourav Choudhury is a social entrepreneur living in France since 2003 and working for the cause of Indian community of France, since 2007. He is founder of multiple projects: the largest social network of the Indian community of France, a French language school for english speaking expatriates, this website, and few other projects.