Earning a Living

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   24/12/2007, 14:22
LesFlamands is not online. Last active: 14/01/2008 11:22:27 LesFlamands

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Re: Advantages and disadvantages of a SARL/EURL
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Operate as a Entreprise Individuelle (regime reel simplifiee). As the Gerant (principal in qn SARL) you are still responsible fpr all the debts of the company not as in the UK where all directors benefit from limited liabilty. My French accountant tells me that the only people to benefit from individuals setting up EURL/SARLs are the advocats and notaires.

Merry Christmas everyoneBeer [B]


Regards

 

Charles


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   19/05/2008, 12:23
lmc is not online. Last active: 19/05/2008 09:31:03 lmc

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Re: Advantages and disadvantages of a SARL/EURL
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Hi

Just found this so sorry if it's a bit late and you've already made your choice.

As and EURL you have the choice as to how your tax and contributions are worked out whereas with a BIC réel you don't (it's always gross turnover - real expenses = taxable income) and with a SARL you don't (it's always salary and dividends drawn = taxable income and further, your SARL with pay company tax).

With an EURL you can choose whether you want to be taxable on your income, as with a BIC (this is option IR) or taxable on your company profits, as with a SARL (option IS).

Roughly speaking, it works out better to be IR if your gross profits are about 30K or less, and better to be IS if your gross profits are higher.  You can move from IR to IS but once you are at IS you can never go back to IR.

Hope that helps.

Lisa


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   19/05/2008, 16:30
Hagar is not online. Last active: 29/05/2008 12:48:55 Hagar

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Re: Advantages and disadvantages of a SARL/EURL
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 LesFlamands wrote:

Operate as a Entreprise Individuelle (regime reel simplifiee). As the Gerant (principal in qn SARL) you are still responsible fpr all the debts of the company not as in the UK where all directors benefit from limited liabilty. My French accountant tells me that the only people to benefit from individuals setting up EURL/SARLs are the advocats and notaires.

Merry Christmas everyoneBeer [B]

Just caught up on this thread as well.

The above statement is simply not true. Suggest your accountant goes back to school.

The Gerant of a SARL/EURL can only be personally liable for the companies debts in very specific circumstances - notably fraud and/or where it can be shown that the company has not been run properly. It is basically the same in the UK.

rgds

Hagar

 


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   20/05/2008, 15:25
Hagar is not online. Last active: 29/05/2008 12:48:55 Hagar

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Re: Advantages and disadvantages of a SARL/EURL
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Think I mentioned this on another thread , however, if you are not sure about what company stucture suits your particular circumstances (EI/EURL/SARL/SARL Familiale?) then you are probably better consulting with an avocat or a notaire rather than an accountant. You are choosing the "Regime Juridique" for your company which is the main about ownership, rights, obligations and liabilities. (with possible consequences for inheritance and marriage regimes.) This is their area of expertise.

When choosing your "Regime Fiscal" i.e (Micro/Reel/Reel Simplifie/IS/IR etc) then you should talk to an accountant as that is their area of expertise.

The two choices are of course interlinked as certain fiscal regimes are permitted only for certain company structures (e.g you cannot choose IR with a SARL but can with EURL), so you may need to go back and forward a couple of times to get it right.

hope that helps

Hagar

 

 

 


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