Fiscal representative in France

France requires businesses not established within the European Union to appoint a fiscal representative for their Value Added Tax registration and reporting. These are directly and severally liable for the taxpayer’s VAT liabilities.

However, if a business is based in one of the countries with which France has concluded a tax mutual assistance agreement, then this is not required. These businesses may register with a direct registration.

This list of countries currently includes Australia; India; Iceland; Japan; Mexico; New Zealand; Norway; South Korea; and South Africa. It excludes the U.S.A., Canada, Switzerland and China.

Limited fiscal representatives may also be used for importers with onward intra-community supplies. This is a simpler form for fiscal representation.

For the purposes of VAT reclaims by non-EU businesses, under the 13th VAT Directive, businesses must also appoint a fiscal representative

Fiscal representatives are responsible for the accurate VAT submissions of their non-EU clients. In most cases, they are held jointly and severally liable for their client’s VAT. In the case of negligent supervision or collusion on misreporting of VAT, the fiscal representative will be held liable for any missing VAT. As a result, there is often a requirement for a cash deposit or bank guarantee with the representative.