Like other self-employed persons, business executives (directors, business managers) are required to pay quarterly advances on the social security contributions they owe. The final settlement of these social security contributions follows one to two years later, when the definitive professional income for the year in question is known.
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This system can lead to more social security contributions being reimbursed in a given year than have actually been paid. However, this positive balance in favour of the business executive cannot be treated as taxable income, even if the reimbursed contributions were deducted as professional expenses in a previous year.
Note that this rule only applies to company executives, and hence not to ordinary self-employed entrepreneurs or practitioners of the liberal professions and individuals. Unfortunately, they have to declare the positive balance as professional income.