VATLive > Blog > France > French marketplace VAT reporting update

French marketplace VAT reporting update

  • Jan 9, 2020 | Richard Asquith

Following the 1 January 2020 introduction in France of the obligation for marketplaces to report on the taxable supplies of their third-party sellers, the French tax office has clarified this week reporting requirements.

They have confirmed that for transactions after 1 January 2020, the marketplace must include in their disclosures on sellers using their platforms the gross value of transactions subject to VAT in France.  This implies that the marketplace would have to determine if French VAT was in fact due. For example, if the goods where sent from another EU states and the seller was below the French distance selling rule of €35,000, the no French VAT would be due.

To overcome this problem, many French marketplaces insist that non-resident sellers are now French VAT registered even if they do not have to be under the distance selling threshold regime.

The UK, German and Italy has introduced similar marketplace obligations. In 2021, EU-wide marketplace obligations will come into place.

Need help with your French VAT compliance?

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. 

Latest French news

France budget marketplace VAT obligations

Oct 8, 2019 

The draft French budget, published on 26 September, for 2020 has proposed a range of measure to fight e-commerce VAT fraud. The 2020 measures impose obligations on fulfilment houses and facilitating

France marketplace seller VAT reporting obligations

Sep 1, 2019

France has proposed expanding the marketplace third-party seller reporting requirements. This would include determining sellers' foreign VAT registration status and obligation to charge French VAT

EU VAT and tax veto review

January 25, 2019

The European Commission (EC) has proposed switching from unanimous to majority voting on EU VAT and other tax policies.  The aim is to progress fiscal reforms which face immovable opposition from just a limited number of member states. 

VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.
VATlive newsletter

Sign up for our free newsletter stay up-to-date with the latest tax news.

VAT Voice

Sign-up to VAT Voice, Avalara’s monthly round-up about VAT and legislation updates to help you stay ahead of the curve.