Tax inspection of associations

About you

You are an association and want to know the tax rules that apply to you with regard to tax inspection.

You are an association and want to organise your activities to avoid any tax risk.

You are an association in full transformation and need advice for the transition.

Taxation in France

Like companies, associations can be subject to a tax inspection of the administration.

Associations do not intend to make a profit and as a rule they avoid commercial taxes.

However, associations often develop a profit-making activity in parallel with their main associational activity. The organisation therefore needs to know about the tax impact of such an activity.

Owing to the special nature of the regime applying to associations, tax authorities often carry out tax inspections to examine the validity of the decisions taken within the structure.

So to guarantee the proper application of tax legislation, particular attention must be given to following points:

  • The balance between the profitable and non-profitable sector in the case of mixed activity
  • The temporal nature of operations: possibility of a development in several stages (exemption from commercial taxes, sectorisation, subsidiarisation)
  • Checking what commercial taxes may be applicable: corporate taxes (IS), value added tax (TVA), territorial economic contribution (CET)

If your association faces a tax inspection, it is advisable and even necessary to seek the assistance of a tax lawyer who can represent you in your dealings with the tax authority.

Our support

Altexis offers you full support if you are an association, in particular:

  • We can help you and represent you if you are faced with a tax inspection.
  • We can audit your association to see if it complies with tax legislation.
  • We can support you during your economic transition (development of a profit-making activity).