Tax differences between SARL/EURL and SAS/SASU

L’EURL peut se définir comme une SARL mais avec un associé unique. D’autres distinctions interviennent, comme le régime fiscal par défaut de l’impôt sur le revenu (IR) pour l’EURL et l’impôt sur les sociétés (IS) pour la SARL. Comprendre ces différences est utile avant de vous lancer dans la création d'une EURL en ligne.

L'EURL peut toutefois faire la demande de l’IS si elle le souhaite. Entre SAS et SASU, les règles fiscales sont les mêmes, le choix entre ces deux formes juridiques s’effectuera en fonction du projet de votre société, et si vous souhaitez vous lancer seul ou éventuellement vous associer.  Ce choix fiscal se prépare dès la création de la SASU, avant même l'immatriculation.

Focus on the tax provisions inherent in each of these legal forms

SARL/EURL: different taxation of profits

First of all, let's focus on SARLs and EURLs in terms of taxation of profits. In the case of the EURL, the corporate income tax (IS) regime is automatically applied, but it is possible to opt for the income tax (IR) regime.

If the company is taxed on a corporate income tax basis, the manager's remuneration will be subject to income tax, but in the case of executives, aprofessional expense allowance capped at 10% will be calculated on actual expenses.

If the manager prefers to pay income tax, the situation is different if he or she is also a partner. In this case, his remuneration will be taxable and will not be deducted from his company profits.

Ces différences de régime fiscal sont à prendre en compte dès la création d'une SARL, en particulier si vous hésitez entre plusieurs formes juridiques.

If the manager is not a partner, his remuneration will be deductible from the EURL's profits.

For SARLs, the default tax regime is the corporation tax (IS), so that partners benefit from the same taxation as employees. The remuneration received by each partner is deductible from social security contributions and bonuses paid during the year.

In certain cases, family SARLs can benefit from the unlimited partnership regime.

SAS/SASU: no tax differences

The SAS and the SASU are fully aligned in terms of taxation. They will both be subject tocorporate income tax by default, with an option to opt for personal income tax.

This choice needs to be made at the time of creation, or within the next five years.

The IR option for SAS or SASU will be available for industrial, commercial, liberal or agricultural activities, in certain specific cases:

• Created less than five years ago
• Have fewer than 50 employees.
• Annual sales or balance sheet total, both below ten million euros.
• Do not own any securities traded on a financial market.
• At least 50% of shares must be held by individuals, and at least 34% by all executives.

This choice of corporate income tax will only be possible if unanimously agreed by the structure's partners. The tax department must be notified of this decision within the first three months of the first fiscal year.

The advantage of IR is that it taxes the sole partner or several partners, rather than the SAS or SASU directly. This type of taxation will thus be relative to the amount of share capital held by the partner(s).

Conclusion

The choice of legal form for your company will come into play when you decide to launch your business. SARL, EURL, SAS or SASU, it all depends on your personal project, and above all whether you want to start your business alone or as a partner.

It is essential to take into account all the parameters relating to each of these structures in order to make the wisest possible choice.