European Tax Glossary
Navigate the complexities of European tax systems with our comprehensive glossary of key terms for freelancers and micro-entrepreneurs.
Kleinunternehmer (Germany)
A 'small business owner' in Germany. Under the Kleinunternehmerregelung, if your revenue is below €22,000 in the previous year and expected to be below €50,000 in the current year, you are exempt from charging and declaring VAT.
Auto-entrepreneur / Micro-entreprise (France)
A simplified tax and social security regime in France for independent workers. It offers simplified accounting and a favorable threshold for VAT exemption, depending on the activity.
Regime Forfettario (Italy)
A flat-rate tax regime in Italy for freelancers and sole traders. It offers a single substitute tax (often 5% or 15%) and VAT exemption up to an €85,000 annual revenue limit.
Partita IVA (Italy)
The Italian VAT number. Any freelancer or business operating in Italy must open a Partita IVA to issue invoices and pay taxes.
Estimación Objetiva (Spain)
An objective assessment system for calculating income tax for self-employed individuals (autónomos) in Spain. Taxes are based on objective indicators (modules) rather than actual profit.
KOR - Kleineondernemersregeling (Netherlands)
The small businesses scheme in the Netherlands. If your annual turnover is below €20,000, you can opt for KOR, meaning you do not charge VAT to customers.
OSS - One-Stop Shop (European Union)
An EU-wide VAT scheme that simplifies VAT obligations for businesses selling cross-border to consumers (B2C) in the EU.
Zwolnienie z VAT (Poland)
A VAT exemption in Poland available to entrepreneurs whose sales value did not exceed PLN 200,000 in the previous tax year.
Micro-BNC / Micro-BIC (France)
Specific tax regimes in France. BNC applies to liberal professions and intellectual services, while BIC applies to commercial or artisanal activities.