Guidance: Exemption for non-profit organizations for ancillary activities

In accordance with the provisions of 1 bis of article 206 of the general tax code (CGI) and the second paragraph of b of 1° of 7 of article 261 of the CGI , the threshold of the exemption from corporate tax ( IS) and value added tax (VAT) from which non-profit organizations benefit in respect of their operating income from their ancillary lucrative activities, is indexed, each year, on the forecast of the price index at consumption, excluding tobacco, retained in the draft budget law for the year.

This system is also applicable in terms of the territorial economic contribution (CET).

This threshold is increased to €76,679:

• for the financial years ended on or after December 31, 2022 with regard to corporate tax;
• for the year 2023 in terms of CET;
• for revenue collected from 1 ^January 2023 in terms of VAT. However, the benefit of the VAT exemption for the year 2023 will be acquired when the turnover threshold achieved in 2022 does not exceed €76,679.

The conditions of application of the deductible remain unchanged.

Source: impots.gouv.fr

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