VAT simulator for auto-entrepreneurs 2026
As a micro-enterprise, you benefit from the VAT franchise below certain thresholds. Check your situation and plan ahead.
Base franchise threshold
36 800 €
En dessous, vous ne facturez pas la TVA
Increased threshold
39 100 €
Au-delà, TVA applicable immédiatement
Auto-entrepreneur VAT thresholds 2026
| Activity type | Franchise threshold | Increased threshold |
|---|---|---|
| Sale of goods | 91 900 \u20ac | 101 000 \u20ac |
| Service provision | 36 800 \u20ac | 39 100 \u20ac |
As long as your revenue stays under the franchise threshold, you benefit from the VAT franchise: you don't charge VAT and mention 'TVA non applicable, art. 293 B du CGI' on your invoices. If you exceed the increased threshold, you become liable for VAT immediately. Complete VAT auto-entrepreneur guide
How does VAT work for micro-enterprises?
As a micro-enterprise, you benefit by default from the VAT franchise (franchise en base de TVA), a scheme provided by Article 293 B of the French General Tax Code (CGI). In practice, this means you do not charge VAT to your clients: your prices are therefore 'net of VAT'. In return, you also cannot deduct VAT on your business purchases (equipment, software, supplies, etc.).
This franchise is a real competitive advantage when your clients are individuals, as your prices are inherently 20% cheaper than a VAT-liable competitor. However, if you mainly work with businesses (B2B), your clients cannot recover VAT on your invoices, which can be a commercial drawback.
Legal obligation: while you are under the franchise, every invoice must include the statement 'TVA non applicable, art. 293 B du CGI'. Failure to include this mention can lead to tax penalties.
2025 VAT reform: what changed
The 2025 Finance Act initially planned to introduce a single VAT franchise threshold of €25,000 in revenue, regardless of activity type. This measure, which was to take effect on March 1, 2025, sparked strong opposition from auto-entrepreneurs and freelancers, particularly in the services and liberal professions sector, which previously benefited from a threshold of €36,800.
Facing this opposition, the government suspended and then abandoned the reform. In 2026, the historical thresholds therefore remain in force: €91,900 for the sale of goods and €36,800 for service provision. The increased thresholds (€101,000 and €39,100) also apply as before the attempted reform.
However, it is important to remain vigilant: the topic of harmonizing VAT thresholds remains in political debate and could return in a future finance act. We update this page as soon as any legislative change occurs.
Output VAT vs Input VAT
When you exceed the franchise thresholds and become liable for VAT, the system changes fundamentally. You must now apply VAT on your invoices (generally at 20%, but 10% or 5.5% depending on the service). This is output VAT: you charge it to your clients and then remit it to the State.
In return, you can now deduct the VAT paid on your business purchases: this is input VAT. The difference between output VAT and input VAT is the amount you pay (or recover) from the tax authorities. For example, if you invoice €1,200 including VAT (i.e. €1,000 ex-VAT + €200 VAT) and purchased equipment for €600 including VAT (i.e. €500 ex-VAT + €100 VAT), you remit €200 − €100 = €100 to the State.
VAT declarations are filed monthly (standard regime) or quarterly (simplified regime), through your professional account on impots.gouv.fr. Most micro-entrepreneurs who become VAT-liable opt for the simplified regime with semi-annual instalments and an annual adjustment.
Learn more: Micro-enterprise thresholds · Revenue calculator · Contributions simulator