Invoicing in France
Similar to numerous countries globally, France is rolling out new e-invoicing guidelines for VAT transactions, with a phased introduction set between 2024 and 2026. Additionally, France has specific legal requisites for invoices that businesses need to be cognizant of.
In France, e-invoicing is also known as “facture électronique” and is regulated by the French Tax Administration. Many companies in France have adopted e-invoicing, and the French government is also promoting its use as part of its digital transformation strategy.
Full VAT invoice
There are mandatory details that invoices in France must include.
Full VAT invoice
- Date the invoice was issued.
- A unique and consecutive invoice number.
- The VAT number of the supplier.
- The VAT number of the buyer, along with the relevant statement for specific transactions (e.g., for services subjected to reverse charge, the notation “auto liquidation” or “reverse charge”).
- Full addresses for both the supplier and the customer.
- Comprehensive description of the products or services provided.
- Quantity of items, when relevant.
- Unit price, if applicable.
- Supply date, if different from the invoice date.
- Net amount of the supply.
- Any discounts, if given.
- The applied VAT rate(s) and the corresponding VAT amount for each rate.
- The overall gross amount of the invoice.
Selling in France?
Simplified Invoice
For transactions amounting to less than EUR 150, a basic invoice can be issued. In such cases, there is no need to include the VAT number of the supplier liable for VAT or references to the French Tax Code, EU VAT Directive, or any provision indicating the transaction is exempt from VAT.
When invoices are addressed to certain professionals, they should incorporate:
- Information regarding the time and date, specifically the day the particular settlement will occur, available discount rates, and if no discounts are given, this should be explicitly mentioned.
- Rates for penalties in case of payment delays.
- A notation of a EUR 40 guarantee for late payments.
Electronic Invoice
In France, e-invoicing is also known as “facture électronique” and is regulated by the French Tax Administration. Many companies in France have adopted e-invoicing, and the French government is also promoting its use as part of its digital transformation strategy.
Starting on July 1, 2024, certain companies in France will be required to issue, transmit, and receive electronic invoices, as part of a phased rollout established by Article 153 of Law No. 2019-1479 and Ordinance No. 2021-1190.
Gradual implementation is scheduled as:
- Large Companies- July 1, 2024
- Mid-sized Companies- January 1, 2025
- Small and Medium Entities- January 1,2026
Important Information
For invoices with special notes, certain additional details need to be provided in France:
- If the seller, like the vendor, is a member of a recognized association or management center, check payments are allowed.
- If a service provider or seller is benefiting from VAT exemptions based on franchise provisions, VAT should not be applied as per CGI article 293B.
- For operations under the reverse charge mechanism, the invoice will not display any VAT.
In France, new legislative criteria for billing have been implemented.
In France, new regulatory standards for invoicing have been implemented to eliminate delays related to invoice processing and payment. According to the new regulations of the Article L. 441-9 of the French commercial code, all invoices must comply with the following:
- Address: if the invoicing address and the usual address differ, the parties involved must include both addresses on the invoice.
- Purchase order (PO) number: any PO number supplied by the buyer must be included in the invoice.
Last Updated: 27/10/2023
Disclaimer
The information provided by Global VAT Compliance B.V. on this webpage is intended for general informational purposes only. Global VAT Compliance B.V. is not responsible for the accuracy of the information on these pages, and cannot be held liable for claims or losses deriving from the use of this information. If you wish to receive VAT related information please contact our experts at support@gvc.tax
