Master the taxation of your responsible investments

Income to declare, tax status, withholding tax, capital loss exemption... It's not easy to navigate the tax jungle. Add crowdfunding to this equation, and you're lost! Between the differences depending on the country of issue of the securities or loans, your status (legal or natural person), and the possible tax options, it's difficult to see clearly!  However, it is essential to understand the mechanisms of taxation in order to optimize it and avoid unpleasant surprises like double taxation. This article dedicated to crowdfunding taxation is here to give you a helping hand and avoid tying yourself up in knots!  

Whether you're a new investor or a seasoned crowdfunding investor, we explain everything: its tax framework, the taxation of investments depending on the location of the issuing company... We dissect everything so you can invest with peace of mind and optimize your taxation.  

You'll see, thanks to Enerfip, that crowdfunding taxation will no longer hold any secrets for you. No more gray areas, make way for informed management of your investments!  

Tax Framework for Crowdfunding

TAXATION OF BONDS

Investing in bonds is good, but knowing how you're taxed is better, isn't it? Let us explain the tax framework for bond market.

If you are a individual, resident for tax purposes in France, the interest you receive on your Enerfip savings account is a fixed-income investment product, taxable as interest on bank savings accounts (excluding Livret A and LDD savings accounts). In this case, the single flat-rate withholding tax (PFU), also known as the flat tax, applies by default to all interest received.

If you are not a French tax resident and you invest in a security issued by a French company, please contact the Investor Relations team to inform them, as the tax obligations of your country of residence apply. To avoid French withholding taxes, you must provide us with proof of foreign taxation.

Did you know?

The PFU amounts to 30%. It is made up of: the CSG (Generalized Social Contribution) and the CRDS (Contribution to the Repayment of Social Debt) are compulsory withholding taxes that contribute to the financing of Social Security and Social Protection in France. They amount to 17.2% of the gross amount of your interest; income tax is deducted at 12.8%, but this withholding tax is not withholding tax. What does this mean? This means that it is an advance payment on your final tax. When you file your tax return, you can choose to be taxed according to the progressive income tax scale, if this is more favorable to you.

Note that the PFU is a tax option. You can choose not to use this tax and opt for the progressive scale on all your income from movable capital.

For legal entities taxed on companies in France, the classic terms of corporate income tax apply, namely a reduced rate of 15% up to €42,500 of profit for SMEs making a positive taxable profit and 25% above that.

If you are a non-French tax resident and you invest in a security issued by a French company, please contact the Investor Relations team to inform them, as the tax obligations of your country of residence apply. To avoid French withholding taxes, you must send us proof of foreign taxation.

TAXATION OF SHARES

If until now, the taxation of shares has been a little unclear for you, now you will see much more clearly at the end of this paragraph! First of all, know that you can receive both capital gains and dividends, which are two distinct types of income – and therefore taxed separately.

If you realize a capital gain:

• As an individual, you are subject to a flat tax rate. On the one hand, there are social security contributions and, on the other, there is the mandatory flat-rate withholding tax on income (IR). Combined, they amount to 30% in total.
• For a legal entity, capital gains from the sale of securities are generally included in the calculation of corporate tax. However, if the transferring company has held at least 5% of the capital of the company whose securities it is selling for more than 2 years, the capital gain is exempt, subject to the reintegration of a share of costs and expenses set at 12% of the amount of the capital gain. At the standard corporate tax rate of 25%, this corresponds to an effective tax of approximately 3% on the capital gain.

For dividends, be aware that there are several situations

• You are a natural person residing in France: the flat tax of 30% applies automatically unless you wish to be taxed on the progressive scale. In this case, you benefit from a 40% allowance on dividends and a 6.8% deduction of CSG from your taxable income.
• You are a legal entity taxed on a French company: your dividends are taxable at the standard corporate tax rate, i.e. 25%. However, if you hold more than 5% of the capital of the company paying the dividends, only a 5% share is taxed, which amounts to an actual tax rate of 1.25% (parent-subsidiary regime).

Did you know?

For individuals or legal entities residing or taxed abroad, you should find out about the tax treaties in force in your country, as they may vary. Additionally, withholding taxes may be applied to interest or dividends received.

Subsequently, remember to inform us to update your status.

What is the tax treatment for a security issued by a French company?

IF YOU LIVE IN FRANCE

For natural persons

According to the INPI, “a natural person is an individual with a civil identity, a human being endowed with personality legal”.

By default, you are subject to the Single Flat-Rate Withholding Tax (PFU), also known as the flat tax, at a rate of 30% (17.2% of social security contributions, intended to finance Social Security and social protection in France and 12.8% of income tax, non-dischargeable).  

However, if it is more advantageous for you, you can opt for taxation on the progressive scale when filing your tax return. Please note, however, that this option is global, meaning that the choice of this method of taxation will apply to all RCM (income from movable capital) and capital gains subject to the flat-rate tax at 12.8%, made during the year in question (CGI, art. 200 A, 2).

Choosing it couldn't be simpler! Simply check the box “You opt for taxation at the scale of all your income from movable capital and your gains from the sale of securities” and move your income from box 2CG (without deductible CSG) to box 2BH (with deductible CSG).

For legal entities

According to the INPI, “a legal entity is a group of individuals, natural or legal, working together towards a common goal and having a legal existence. The legal entity is created at the same time as the company. Considered as an independent identity, it has the same rights and obligations as a natural person.”

For an investment issued by a French company, you are subject, as a legal entity, to corporate tax according to the traditional terms of corporate income tax:

• a reduced rate of 15% for SMEs (under certain conditions) on the share of profit up to €42,500;

• a rate of 25% thereafter. However, if you make a withdrawal before 5 years, your gains will be subject to tax.

IF YOU LIVE ABROAD

Thanks to our accreditation as a European Crowdfunding Service Provider (PSFP), Enerfip allows you to invest in all our projects. However, be aware that there are certain specificities depending on the country of the issuing company.

Did you know?

Regardless of your country of residence, if you provide us with your tax residence certificate, you are exempt from French levies.

In Spain

If you invest in a security issued by a French company, your interest and capital gains will not be subject to double taxation, provided you provide a Spanish tax residence certificate. Once this proof is approved, you will receive the gross amount of your income, taxable in Spain according to current legislation. Here is the scale of applicable rates:

• 19%up to €6,000 (Enerfip currently applies a fixed non-discharge levy of 19% on funds raised by project leaders).
• 21% between €6,001 and €50,000.
• 23% thereafter.

In Italy

As an Italian tax resident, your income from sustainable investments made with Enerfip will be taxed in your country. So, if you want to avoid double taxation, we recommend that you send us your tax residence certificate.

Without it, a withholding tax of 30% will be applied in France, in addition to the Italian rate of 26%.

In the Netherlands

In the Netherlands, income is not taxed based on the amount received. Capital is. The latter falls under “Box 3” of the Dutch tax system, relating to wealth tax. Bonds and other financial assets, including French sustainable investments made through Enerfip, are included in the calculation of your taxable assets.

A notional return is applied to this wealth, and a tax rate of 36% is levied on this estimated return. What does this mean? This means that you do not pay tax on the actual interest you receive, but on a return calculated based on your total assets.

What is the tax treatment for a security issued by a Spanish company?

IF YOU LIVE IN FRANCE

You provide a French tax residency certificate

• By investing in a project issued by a Spanish company on Enerfip, your tax treatment may vary depending on your tax residency and the supporting documents provided. If you provide your French tax residency certificate, your income is not taxable at source in Spain. You are only taxed at source in France at a rate of 30% if you do not have an exemption from withholding tax or 17.2% including only the CSG-CRDS. Of course, you always have the option of choosing the progressive scale.

EXEMPTION FROM THE NON-RELEASED FLAT-RATE WITHDRAWAL, WHAT IS IT?

• You may be exempt from the mandatory non-discharge flat-rate deduction of 12.8%, paid as income tax at the time of interest payment, if your reference tax income for year N-2 was less than €25,000 for a single person or €50,000 for a couple (marriage or civil partnership).
• You may be exempt from the mandatory non-discharge flat-rate withholding tax of 12.8%, paid as income tax at the time of dividend payment, if your reference tax income for the year before last was less than €50,000 (single person) or €75,000 if you are living as a couple (marriage or civil partnership).
• You must make this request to your financial institution by submitting a sworn statement.
• The request for exemption from the mandatory non-discharge flat-rate withholding tax of 12.8% (paid as income tax at the time of income payment) must be made before 11/30 of the year preceding the year in which the income is paid.
• Thus, to benefit from the exemption from the mandatory flat-rate withholding tax of 12.8% applied to income paid during 2025, the exemption request must be made before 11/30/2024.

You do not provide a French tax residence certificate

Without your French tax residence certificate, you will be subject to double taxation. If you do not benefit from a tax credit, the final total will be 49% (30% in France and 19% in Spain). On the other hand, if you apply for a tax credit (applicable rate of 9%), you will be charged 40% income tax.

To benefit from a tax credit on your foreign-source income, you must first declare this income on form No. 2047, dedicated to the declaration of income received abroad. Once this form is completed, the total amount of income covered by a tax credit equal to the French tax is indicated on line 70. This amount must then be reported in box 8VL of annex 2042-C of your tax return.

It is important to provide a tax residency certificate in order to benefit from international tax treaties and avoid double taxation.

IF YOU LIVE ABROAD

IN SPAIN

As a Spaniard investing in a project issued by a Spanish company, your tax situation is the simplest! Your income is subject to taxation in your country, namely a rate of 19% (up to €6,000), 21% (between €6,001 and €50,000) and 23% above that.

IN ITALY

If you provide your tax residence certificate, your income will not be taxed at source in Spain. In fact, you will receive the gross interest directly. You will only have to declare and pay the full tax rate of 26% applicable to Italian tax residents on foreign bonds.

Conversely, without this document, your income will be subject to withholding tax in Spain, amounting to 19%, in addition to the Italian tax rate of 26%.

IN THE NETHERLANDS

As a Dutch investor, it is your responsibility to declare your income to your country's tax authorities. To avoid double taxation, remember to request your tax residence certificate, also known as Woonplaatsverklaring, from the Belanstingsdienst. Because, if you invest in a project issued by a Spanish company without providing this document, you will be taxed at source in Spain at a rate of 19% in addition to your local tax.  

What is the tax treatment for a security issued by an Italian company?

IF YOU LIVE IN FRANCE

On Enerfip, fundraising campaigns are marked with a flag indicating the country
of issue of the project. If you subscribe to a project led by an Italian company, the applicable tax treatment depends on your tax residence and the procedures you follow.

You provide a French tax residence certificate

On the one hand, a withholding tax of 26% will be levied in Italy on your interest on behalf of the Italian tax authorities. On the other hand, a flat-rate tax of 30% is also applied to your income in France.

Did you know?

To recover a 10% tax credit on your foreign-source income, you must first declare this income using form n°2047, dedicated to the
declaration of income received abroad. Once this form is completed, the
total amount of income covered by a tax credit equal to the French tax is indicated on line 70. This amount must then be reported in box 8VL of annex 2042-C of your tax return.

You do not provide a French tax residence certificate

If you do not provide a tax residence certificate, a heavier tax applies. On the one hand, a withholding tax of 26% will be levied in Italy on your interest on behalf of the Italian tax authorities. On the other hand, a flat-rate tax of 30% is also applied to your income in France.

In total, you will be taxed at 56% or 46% after recovering your 10% French tax credit. To benefit from a tax credit on your foreign-source income, you must first declare this income on form n°2047, dedicated to the declaration of income received abroad. Once this form is completed, the total amount of income covered by a tax credit equal to the French tax is indicated on line 70. This amount must then be reported in box 8VL of annex 2042-C of your tax return.

IF YOU LIVE ABROAD

IN SPAIN

If you do not provide a tax residence certificate, your income will, in fact, be subject to a withholding tax of 26% applied directly by Enerfip, in addition to your Spanish taxes.

However, if you provide one, the withholding tax will be reduced to 12%. It also entitles you to an equivalent tax credit, which can be recovered from the Spanish tax authorities when you file your tax return.

IN ITALY

Your income is automatically subject to a withholding tax of 26%. Your final tax liability, in turn, depends on your marginal tax rate in Italy. If your tax bracket is lower than this rate, you will receive a refund of the excess paid.

Conversely, if it is higher (up to 43% for the maximum bracket), you will have to pay the difference to the Italian tax authorities.

IN THE NETHERLANDS

Without a Dutch tax residence certificate, your income will be taxed in Italy with a withholding tax of 26% in addition to your Dutch taxes.

However, if you do present one, the withholding tax applied is reduced to 10%.

How to contact us?

Much more than a crowdfunding platform, Enerfip offers you competitive, transparent, and green savings to support the energy transition. By making the impact of your investments positive and virtuous, you participate in the decarbonization of savings products.

Alongside us, you invest in the energy transition, directly in renewable energy production, energy efficiency, or sustainable mobility projects. Efficient, diversified, and in close contact with projects and project leaders, our offers actively contribute to the promotion of a low-carbon society model.

If you are interested in our responsible investment platform dedicated to financing the energy transition, make an appointment with the Investor Relations department!

And that's it! Now you know everything about taxation: you know how your investments are taxed, how to avoid double taxation, and even how to optimize your tax situation to get the most out of them.

In short, you're ready to take action! All you have to do is visit our responsible investment platform and invest your money in the projects that suit you.