Module 121 min2816 wordsFree — no account
Obtaining and keeping tax-privileged status
The module’s worked examples, then cases to attempt before revealing their solution · 2 sections · 251 words · 3 min
Worked example
The support association and the schoolyard
A support association raises money and transfers it to the town as the school authority, which uses it to redesign the schoolyard. The association does not carry out the purpose itself; under section 58 number 1 that is harmless. Because passing on funds is its only way of pursuing its purpose, its statutes must say so, or a requirement is missing.
Practical case
The music club's free reserve
A non-profit music club has annual receipts of €150,000 in 2026. It lets an inherited flat and makes a surplus of €9,000 from it. Its other funds subject to timely use amount to €110,000. In the previous year it did not use the free reserve; its cap then was €8,000. How much may it put into the free reserve in 2026 at most, and does the exemption for small bodies apply?
Hint: Compute the two parts of the cap separately, then check whether the unused cap of the previous year can be made up.
Show the solution
The exemption from timely use is ruled out because €150,000 exceeds €100,000. The 2026 cap consists of one third of €9,000, that is €3,000, and 10 percent of €110,000, that is €11,000, together €14,000. Under section 62(1) number 3 sentence 2, the €8,000 not used in the previous year may be made up within the following two years. Up to €22,000 are therefore permitted in 2026.
Answer: No exemption; free reserve in 2026 up to €22,000, of which €14,000 from the current cap and €8,000 made up
Educational content, current with the sources cited. It does not replace advice tailored to your situation. These courses are neither certifying nor CPF-eligible: they prepare for no certification registered with the French RNCP or specific register.