What Makes Tax Refund So Easy At Times?

Those who choose to work as a freelancer must thoroughly inquire about the correct bureaucracy to follow. With the right moves, the freelancer will be able to both save on his expenses and understand how to get some small benefits. First of all, it is good to understand if one’s profession falls into the category of the freelancer or that of the self-employed worker; it is necessary to understand how to open a VAT number, if and when it is convenient, and what tax breaks can be obtained.
In our article we will clarify the doubts about taxes for freelancers
First of all, it is good to clarify that there are no abysmal differences between the working conditions of freelancers and those of self-employed workers and furthermore, that the two terms are often used as synonyms. However, the distinction between the two parts is rather conceptual:
- The freelancer generally carries out services with a high intellectual content and is usually registered in a register or order. This category includes, for example, doctors, lawyers, psychologists, veterinarians, architects and journalists;
- The self-employed worker, on the other hand, does not belong to a specific register or order and carries out independent work, without subordination. This category includes mechanics, hairdressers and electricians, among others.
The civil code speaks of the regulation of self-employment in Book V, Title III
What is the right legal form for your business? Sole proprietorship or freelance?
Before defining what is meant by a firm or sole proprietorship, it is important to clarify that, compared to a sole proprietorship or an enterprise, self-employed workers can offer services and not goods. Furthermore, the only person responsible for the management of a sole proprietorship is the entrepreneur who chooses to start it. Using the tax refund calculator comes handy here.
So what are the differences between a sole proprietorship and a freelancer?
The sole proprietorship is a business activity which consists in the professional exercise of an economic activity aimed at the production or exchange of services. Although the owner of a sole proprietorship remains primarily responsible for his activity, he can choose to make use of collaborators or employees. The activity of individual business must be carried out habitually or periodically and not occasionally or occasionally.
- From a practical point of view, self-employed workers such as artisans or traders already constitute in themselves a sole proprietorship; on the other hand, since the freelancer who offers goods to the public does not carry out an economic activity for production purposes, he cannot assume the legal form of the sole proprietorship.
The Right Choices
The choice between the different legal forms is very important from an administrative, fiscal and social security point of view. In the first place, in order to start their own business, sole proprietorships are required, in addition to opening the VAT number, also to register with the Business Register by submitting the Single Communication and with the chamber of commerce. Furthermore, the accounting of sole proprietorships follows the accrual principle and not the cash principle, which can instead be implemented by freelancers.