Hi scully,
There is some obscure French law about the publication and distribution of literature as being a commercial venture rather than a religious one. Therein lies the "sect" label for JWs in France.
Not exactly Scully, you have in France, several way to record your association.
First, you can record your association under the 1901's law. You declare that your association is a non profit's association. This is the most common way to build an association and a lot of cultural and sport's association are declared under this law and a lot of religious's association too.
Second, if your association has uniquely the purpose of worship, that it is only designed to maintain a place of worship, you can declared your association under the 1905's law, BUT this is not because you are DECLARED under the 1905's law that you are RECOGNISED as a 1905's association by the government.
When you are RECOGNISED by the government as a 1905's association, you can be exempted of certain tax as the local taxes and the taxes on free gift or testimonial's gift.
To be recognised as a 1905's association you must not trouble the public's order. In 1985, the French's high court, the States Counsil has found that the french's JW:
1/ Trouble the public's order because the ban of blood transfusion
2/ Even if they didn't trouble the public's order, a 1905's association is not concerned by publishing thousand of books and booklet. A 1905's association is an association for maintaining place of worship or for example a monastery, not to distributed all over the country thousand of book. Remember at this time, the books were not free, and the States's counsil has considered this as commercial's activity that don't qualify the french's association to be recognised as 1905's association.
So, because the french's association is not a 1905's association, they must payed all the taxes as a 1901's association, because when you are not recognises as a 1905's association, you are in fact a 1901's association.
Bye
Charles