France B2B e-invoicing 2023
- Nov 12, 2020 | Richard Asquith
The French Finance Bill 2021 was amended last week to include the roll out of e-invoicing from 1 January 2023. This will cover domestic B2B invoices initially. France imposed electronic invoicing on B2G transactions starting in 2017 in a phased approach.
Additionally, domestic B2C and cross-border sales invoicing transactional data will have to be reported (‘e-reporting’) to the French tax authorities.
Both requirements will be rolled out as follows:
- Jan 2023 – large enterprises
- Jan 2024 – mid-sized companies
- Jan 2025 – small companies
France is likely to follow the Italian SdI e-invoice model, with the requirement for live submission and approval of the sales invoices to the tax authority's Chorus Pro portal. But it is not clear if this existing B2G platform will scale, and if France adopts the EU-wide PEPPOL format. France would require a derogation from the EU VAT Directive to switch to e-invoices and withdraw the option of paper-invoices. But this should not be a blocker.
Need a fiscal representative in France?
Non-EU businesses selling in France will need to appoint a fiscal representative alongside completing VAT registration and returns.
Fiscal representatives are responsible for the accurate VAT submissions of their non-EU clients.
Avalara offers a Fiscal Representative Service as part of its international VAT and GST Registration and Returns Service.
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Researching French VAT legislation is the first step to understanding your VAT compliance needs. Avalara has a range of solutions that can help your business depending on where and how you trade.