This page is a translation of a document in French. This translation is provided for information purposes only. The final version is the one in French.
The Referred Professionals must comply with their tax and social security obligations in respect of the income they receive within the framework of product or service offers.
The stipulations below include the information recommended by the regulations. However, it is specified that the Referred Professionals must respect the tax and social security system which is theirs in the context of their activity, the below only correspond to the "standard mentions" recommended by the regulations, Legaware not being able to guarantee that these statements apply to Referred Professionals.
1° Concerning natural persons
Tax obligations
Persons marketing products or services via the Site generating income via the Site must declare the income from this activity to the tax authorities.
The following website of the tax authorities allows people marketing products or services via the Site to access their tax obligations: on the site www.impots.gouv.fr, concerning tax obligations, the following link: https ://www.impots.gouv.fr/portail/node/10841.
The failure to comply with its tax obligations is identified on the site www.impots.gouv.fr on the following link: https://www.service-public.fr/particuliers/vosdroits/F31451 from which the following penalties are imposed.
As a penal sanction: if the tax return is voluntarily incomplete: the user is exposed to a income that should have been declared and which will be 40% in the case of deliberate omission, 80% in the case of abuse of rights (abusive optimization of a tax rule), reduced to 40% if the taxpayer did not initiate the procedure or if he is not the main beneficiary, 80% in the case of fraudulent maneuvers (tactics aimed at deceiving the tax authorities).
In addition, interest on arrears may be charged at a rate of 0.20% per month of delay.
Criminal sanctions: If the tax authorities detect fraudulent behavior, they may initiate criminal proceedings after consulting the Commission for Tax Offences. The user then risks (in addition to the tax penalties) 500,000 fine and 5 years imprisonment. These penalties can go up to a €3,000,000 fine and 7 years of imprisonment if the facts have been committed in an organized band or thanks to: the opening of accounts or the the opening of accounts or the subscription of contracts with organizations established abroad or the interposition of persons or screen organizations established abroad or the use of a false identity or false documents (or any other falsification) or a fictitious or artificial or a fictitious or artificial act abroad.
Social obligations
Persons marketing products or services via the Site generating income via the Site must also declare the income from this activity to the URSSAF.
The following URSSAF website allows people marketing products or services via the Site to have access to their social obligations: on www.urssaf.fr, concerning social obligations, following link https://www.urssaf.fr/portail/home/espaces-dedies/activites-relevant-de-leconomie.html.
The penalties for failure to pay social security contributions are those of the fine provided for 3rd class offences (i.e. up to 450 € fine) and 5th class offences in case of recidivism (i.e. up to 1,500 fine) (articles L 244-1, R 244-4 and R 244-5 of the Social Security Code).
Refusal to join a compulsory social security scheme is an offence punishable by two years in prison and/or a fine of €15,000 (article L 114-18 of the Social Security Code).
Failure to comply with the above-mentioned affiliation obligations and to pay the corresponding contributions may also constitute the offence of concealed work (more information here: https://www.service-public.fr/professionnels-entreprises/vosdroits/F31490), the penal sanctions of which are as follows: The person having recourse to concealed work directly or through an intermediary can be sentenced to up to 3 years imprisonment and a 45,000 € fine (€225,000 if it is a company). If the concealed work concerns a minor or a vulnerable or dependent person the guilty party can be punished with up to 5 years imprisonment and a fine of 75,000 €.
In any case, the above-mentioned actions expose persons marketing service offers via the Site to a control of the URSSAF, reminders and penalties identified on this link relating to the site of the URSSAF https://www.urssaf.fr/portail/home/pourquoi-la-securite-sociale-est/les-sanctions.html. These reminders and penalties are the following: an initial increase of 5% on the adjusted contributions, an additional increase of 0.2% of the adjusted contributions 0.2% of the adjusted contributions may be added, if necessary, per month or fraction of a month of delay, in the event of failure to comply with the observations made during a previous audit (whether or not they resulted in an adjustment), application the application of a 10% surcharge on the amount of the adjustment for a new failure on the same point.
In addition, in the event of a finding of undeclared work, an additional surcharge of 25% is applied to all the amounts assessed following the inspection. This surcharge is increased to 40% if the offence is committed with regard to several persons, by the concealed employment of a minor subject to compulsory education, against a person whose vulnerability or state of dependence is apparent or known to the perpetrator, in an organized crime.
These initial increases in the adjustment of 25% and 40% are raised to 45% and 60% respectively when it is found that a new offence of undeclared work is discovered within 5 years of the notification of the first offence.
Obligation to comply with the regulations on short-term vacation rentals: the Site does not allow the the deposit of such Offers so that this section is not applicable.
2° Concerning legal entities
Legal entities, i.e. companies and corporations, must also fulfill their tax declaration and payment obligations and payment of taxes for the operations they carry out via the Site.
The overview of corporate taxation according to the corporate tax regime or other taxes is identified here https://www.service-public.fr/professionnels-entreprises/vosdroits/N13442.
Companies and/or businesses are also exposed to penalties and sanctions, the main ones of which are set out in the links below https://bofip.impots.gouv.fr/bofip/7234-PGP.html/identifiant%3DBOI-CF-INF-20-10-20-20181003 (especially point 80) and https://bofip.impots.gouv.fr/bofip/6135-PGP.html/identifiant=BOI-CF-INF-40-10-10-20190627.
