If you’re an individual whose tax domicile is in France, you’re taxable on all forms of income. Therefore, you must declare the funds collected on Tipeee.
Depending on the type of rewards offered, the funds raised on Tipeee correspond with different French categories of income: BIC or BNC.
If you usually sell the rewards offered to project supporters by other means, funds collected on Tipeee are regarded as a sale of goods or as provision of services.
These funds are taxable under the BIC category (Bénéfices Industriels et Commerciaux, Industrial and Commercial Profits) and, therefore, to be declared in your tax return in form n° 2031 (BIC: Bénéfices Industriels et Commerciaux, Industrial and Commercial Profits)
Sole traders who benefit from VAT exemption and collect revenue below a certain threshold can benefit from “Micro BIC” regime that simplifies their accounting requirements. More information on “Micro BIC” regime.
If the rewards offered to project supporters are not the same as those you normally sell, income generated on Tipeee is regarded as additional income.
Earnings of this kind are taxable under the BNC category (Bénéfices Non Commerciaux, Non Commercial Profits) and regarded as income, to be declared in the boxes 1AJ to 1DJ of your tax return (form n°2042).
Sole traders who benefit from VAT exemption and collect revenue below a certain threshold can benefit from “Micro BNC” regime that simplifies their accounting requirements.
If you are an individual acting as a company subject to IR (Income Tax) and IS (Corporate Tax), funds raised on Tipeee must be included in the overall total of the company’s taxable profit, and be incorporate in the declared taxable income in form n°2065 when filing out your tax return.
You must analyze, on a case-by-case basis, whether revenue generated via Tipeee are to be regarded as operating revenues corresponding to the company’s every-day activity – to class as account 75 « Autres produits de gestion courante » (“other revenues from daily operations”) - or exceptional revenues - to class as account 77 « Produits exceptionnels » (“exceptional revenues”).
Tipeee’s project expenses may be deductible just like your other operating expenses.
If you are (or you represent) a recognized public interest organization that conducts lucrative business activities on an ancillary basis, you are exempt from business taxes.
On Tipeee, if you conduct commercial activity as a secondary occupation, you are usually exempt from VAT. If this is the case, you don’t have to pay VAT. More information on VAT exemption.
If your every-day business operations are subject to VAT, your sales on TIPEEE are therefore subject to VAT, when you deliver your rewards. The VAT output on these rewards must be paid to the government, and must therefore be deducted from the sums raised.
If you are VAT exempt, you don’t have any VAT declaration to make.
If you are (or you represent) a recognized public interest organization that conducts lucrative business activities on an ancillary basis, you are exempt from business taxes and, therefore, from VAT.