Social Deception of the Swarozgaris: URSSAF Controls are Strengthened

to actively fight against social fraud, which will weigh between 6 and 8 billion euros The state is responding with additional resource mobilization and new legislative measures, according to a report by the Court of Auditors. These translate into the creation of a thousand additional jobs, but also strengthen controls and sanctions.

Among the frauds estimated to be several billions, the main source would be the contribution of companies. In 2022, Urssaf adjusts 788.1 million euros in contributions and social security contributions, an amount the government expects to double by 2027, as Gabriel Attal, the Minister of Public Accounts, indicated at a forum in Le Parisien on 30 May. Of these millions of Euros, approximately 88% of the adjustments relate to employers and 12% to the self-employed.

There is also disparity between different sectors of activity. In the lead, we find the construction and public works sector, which concentrates the bulk of the collection volume, with a total of 524.2 million euros. Right behind, we find business services, followed by transport and finally trade.

Even though they represent only 12% of adjustments in 2022, the Social Security contributions of the self-employed, of which micro-enterprises are a part, are particularly visible. Indeed, the minister estimated the amount of income declared by this category of workers to be 800 million euros, with similar losses in terms of social rights.

more agents mobilized

The government had set Ursuf a recovery target of 3.377 billion euros over the period 2018–2022. Since 2018, the cumulative results have finally amounted to 3.532 billion euros. The objective having been largely achieved, a reassessment was carried out for the period 2023–2027, this time placing the cursor at five billion euros.

To reach this new amount, The state has planned a 60% increase in controlling officers as well as cross-referencing of systematic data. These controls also have a purpose beyond covering the fraud portion:

• Check the employer’s understanding and implementation of the URSF rules;
• readjust the amount paid by the employer in respect of social security contributions;
• Guaranteed competition between economic actors.

For this, the state has released a budget of one billion euros.

Auto-entrepreneurs are subject to more controls

According to the latest data published by Ursaf, the number of auto-entrepreneurs is estimated to be 2.5 million at the end of the second quarter of 2022, a constantly changing figure. This position is attracting more and more workers who find a right balance between simplified accounting and increased freedom. Representing a certain percentage in the weight of the self-employed, the URSSAF has decided to increase the checks for this status, to ensure that the declarations and contributions are correctly calculated, but not for hidden work. Also in relation, which may take two sizes:

• the User has not registered with the National Business Register, has continued its activity after the refusal of registration, after the cancellation of registration or has not made necessary declarations to social security organizations or tax administrations in accordance with applicable laws;
• They didn’t announce the turnover they generated.

Furthermore, in Le Parisien’s Tribune, Gabriel Attal asserted About 200,000 micro-entrepreneurs who conduct their activity within financial intermediation platforms between professionals and individuals, and which, in some cases, are involved in under-reporting. By 2027, they may be provided with a new measure, which will oblige platforms to pay social security contributions of micro-entrepreneurs directly at source.

Decree of 12 April 2023

Although new measures have been announced in the plan to combat social fraud to come into force from January 2023, a decree of April 2023 specifies new amendments to the law concerning Ursaf controls. Some changes came into effect from May 1, 2023, many of which are also related to micro enterprises:

1. From April 14, 2023, inspections conducted by Urssafe require the control officer to send a notice of control to the company subject to control at least 30 days before the scheduled date of its first visit. This marks an increase in the prior notice period, which was earlier 15 days. The notice of inspection must be transmitted by any means by which it is possible to prove its receipt.
2. Credit balance repayment period has been reduced from 4 to 1 month.
3. Urssafe is required to offer the person under control Likely to have an interview with Controlling OfficerBefore sending the note sheet.
4. Urssafe is authorized to use the documents obtained during the inspection of any other company belonging to the same group. However, this measure is subject to the following conditions: the inspector in charge of the inspection must inform the inspected person of the origin and content of the documents and information on which he bases himself and upon request of the inspected person , the inspector should be able to provide copy of the documents.
5. If the formal notice is sent more than two months after the end of the conflict period, no additional extension is required from the inspected person for the period from the end of the conflict period to the sending of the formal notice.
6. If the inspected company repeats a non-compliance practice that has already been noticed or corrected during a previous inspection, the inspection agent detects non-compliance. In the inspection letter, the controlling officer should specify the elements that demonstrate the lack of compliance.
7. The instrument that limits the duration of the Ursaf control to 3 months for companies with less than 20 employees becomes permanent. Earlier, only companies with less than 10 employees were affected by this limit. This 3-month period begins on the start date of the checks indicated on the inspection notice or the date of the inspector’s first visit. However, this period can be extended up to three months in the following situations: If the person performing the inspection makes such a request or if the collecting body makes such a request. However, exceptions to this new provision include: secret acts, abuse of authority, obstruction of control agent’s work, inadequacy of accounting reports or delay in transmission of documents requested by agent inspection, unusable documents, postponement of inspection by inspection contributor Go to request.