Registration fees on the sale of a business are calculated in tiers based on the price. The scale is as follows: 0% up to €23,000; 3% from €23,000 to €200,000; and 5% above €200,000. For a business sold for €350,000, the fees amount to €12,810, or 3.66% of the price. A minimum fee of €25 applies.
This page deals solely with the calculation of duties. It does not cover capital gains tax for the seller, nor other transaction costs.
The rates and thresholds come from the tax administration's page dedicated to the transfer of business assets, which bears the mention "modified on 04/04/2016", and from the BOFiP (BOI-ENR-DMTOM-10-20-20), which confirms the thresholds of €23,000, €107,000 and €200,000.
The scale
| Part of the price between | Rate |
|---|---|
| between €0 and €23,000 | 0% |
| €23,000 and €200,000 | 3% |
| Over €200,000 | 5% |
The scale is progressive in tiers. Each rate only applies to the portion of the price included in the tier, not to the entire price.
The tax administration website divides the 3 % tax bracket into two sub-brackets: €23,000 to €107,000 and €107,000 to €200,000. These are distinguished by the share allocated to the state, the department, and the municipality. The total rate is 3 % in both cases.
On what basis are the rights calculated?
The fees are based on the price, including charges. If the market value of the business is higher than the price, the market value is used as the basis.
A sale price lower than the market value of the business therefore does not reduce the taxes.
The minimum perception
A minimum tax of €25 is stipulated by Article 674 of the French General Tax Code (CGI). Its application to prices below €23,000 is verified on the file.
Some key points
| fund price | Registration fees | Average rate |
|---|---|---|
| €100,000 | €2,310 | 2.31% |
| €200,000 | €5,310 | 2.66% |
| €350,000 | €12,810 | 3.66% |
| €600,000 | €25,310 | 4.22% |
| €1,000,000 | €45,310 | 4.53% |
The average rate increases with the price, but remains below 5 %. The amounts are calculated incrementally, based on the scale above.
Numerical example (fictitious profile)
Situation. Nadia is taking over a restaurant. The price of the business is €350,000, including charges. She assumes that the market value is no higher than the price.
Issue. She wants to know what registration fees should be included in the cost of the operation.
Strategy. Apply the scale tranche by tranche, based on the price.
Result.
| Bracket | Price share in the bracket | Rate | Rights |
|---|---|---|---|
| Up to €23,000 | €23,000 | 0% | €0 |
| From €23,000 to €200,000 | €177,000 | 3% | €5,310 |
| Over €200,000 | €150,000 | 5% | €7,500 |
| Total | €350,000 | €12,810 |
The fees represent 3.66 % of the price. A different assumption about the market value or the charges included in the price changes the basis and therefore the result.
This profile is fictitious. The figures illustrate the calculation. They do not predict your situation.
What changes depending on your situation
- The composition of the prize : the charges included in the base.
- The market value of the fund, if it exceeds the price indicated in the deed.
- The nature of the operation : this page deals with the sale of a business, not the sale of company shares.
- The status of the buyer Special arrangements exist, for example a tax allowance in the event of a buyout by employees or relatives of the seller. These are not discussed here.
- Other costs of the operation, which are not addressed here.
- The seller's side, whose capital gains follow separate rules, discussed on another page.
The rule depends on your situation. No results are guaranteed.
Frequently asked questions
Up to what price is the scale at 0 %?
Up to €23,000. The portion of the price exceeding this amount is taxed at 3% (%), then at 5% (%) for amounts exceeding €200,000. A minimum tax of €25 is levied: its application to lower prices is verified on the file.
What is the maximum rate?
5 % on the portion of the price exceeding €200,000. The average rate across the entire price remains below 5 %.
Are the fees calculated on the price or on the value of the fund?
Based on the price, including charges, or on the market value if it is higher.
Is there a minimum set of rights?
Yes, a minimum collection fee of €25 is stipulated by article 674 of the CGI.
Take stock before signing
Rights are just one aspect of the transaction. If you are preparing to buy or sell a business, schedule an appointment with Balmont Conseil, a Lyon-based firm established for almost 14 years, to review the situation.
[Make an appointment]
Alexis SagnierFinancial and real estate investment advisor, insurance broker, AMF certified
Founder of Balmont Conseil, Lyon (ORIAS 13003497)
Official sources
- impots.gouv.fr, Transfer of business assets (page modified on 04/04/2016): https://www.impots.gouv.fr/professionnel/cession-de-fonds-de-commerce
- BOFiP, BOI-ENR-DMTOM-10-20-20 (transfer of business assets, rates and liquidation): https://bofip.impots.gouv.fr (search for identifier BOI-ENR-DMTOM-10-20-20)
