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France VAT Compliance Guide

France applies a standard VAT (TVA) rate of 20% (reduced 10% / reduced 5.5% / super-reduced 2.1%) under the Code Général des Impôts (CGI). The small-business franchise threshold (franchise en base de TVA) is €82,800 for trade/restaurant activity and €36,800 for services. France is rolling out mandatory B2B e-invoicing through the Plateforme Publique de Facturation (PPF) from September 2026, with structured XML invoices replacing PDF-only flows.

French VAT compliance is split between the rates themselves — four brackets under CGI Articles 278–286 — and the real-time reporting layer arriving through the PPF (Portail Public de Facturation). The PPF mandate phases in from 2026: large businesses first, then mid-size and small businesses, with all B2B invoices required to be structured e-invoices (Factur-X / ChorusPro / Peppol-compatible). The franchise en base exempts businesses under €82,800 (trade) or €36,800 (services) from charging VAT, but they also cannot recover input VAT. The pain point for small businesses is not knowing the rate — it is getting every invoice captured, classified, and ready for structured e-invoicing transmission so the accountant's filing work is clean.

VAT Rates

RateApplies To
20%Standard rate (taux normal) — most goods and services
10%Reduced rate (taux intermédiaire) — restaurants (food), transport, certain home improvements, cultural events
5.5%Super-reduced — most foodstuffs, books (including e-books), energy, feminine hygiene products, certain medical devices
2.1%Special super-reduced — reimbursable medicines, press/periodicals, certain live performances
0%Intra-community supplies, exports, international transport

Registration Thresholds

SchemeThreshold
Franchise en base de TVA (trade / restaurant)€82,800 annual turnover — below this, VAT is not charged and input VAT is not recoverable
Franchise en base (services)€36,800 annual turnover for service-providing businesses
Distance sales / cross-border services (EU)€10,000 combined annual threshold across all EU Member States

Filing Requirements

  • VAT return (CA3 / TVA)

    Monthly (M) for turnover > €4 million, otherwise quarterly. Filed via the French tax portal (impots.gouv.fr) with payment due by the 24th (online) or 19th (paper) of the following month.

  • Annual VAT return (CA12)

    Simplified real regime (régime simplifié) for turnover €36,800–€251,000 (services) or €82,800–€858,000 (trade). Two advance payments plus an annual reconciliation by the last working day of April.

  • DES (déclaration d'échanges de services) / Intrastat

    Monthly declaration of intra-EU services (DES). Intrastat required above the annual intra-EU trade thresholds (currently €460,000 introductions / €1,000,000 dispatches).

E-Invoicing Status

France is implementing mandatory B2B e-invoicing through the Plateforme Publique de Facturation (PPF), operated by the French tax authority (DGFiP). The rollout phases in from September 2026 for large businesses, then mid-size (2027) and small (2027–2028). Invoices must be structured (Factur-X / ChorusPro-compatible XML) and also transmitted for status reporting (e-reporting) for domestic B2C and cross-border transactions. B2G e-invoicing via ChorusPro is already mandatory.

Key Deadlines

VAT return (CA3): 24th of the following month online (19th paper). CA12 annual reconciliation: last working day of April. DES: 10th working day of the month following the intra-EU service.

How Nika Helps

Nika reads every supplier invoice that arrives in the inbox, captures all fields — including the correct French VAT rate (20% / 10% / 5.5% / 2.1%) and supplier TVA number (SIRET) — and files the original PDF the same day, from {price} per processed invoice. That gives the accountant clean, classified records to prepare the CA3 / CA12 and feed the PPF e-invoicing pipeline. Nika does not transmit to the PPF or file the return itself — that remains the accountant's responsibility.

When does the French PPF e-invoicing mandate start?

The Plateforme Publique de Facturation (PPF) becomes mandatory for B2B invoices from September 2026 for large businesses, then mid-size and small businesses in 2027–2028. Companies must issue structured XML invoices (Factur-X / ChorusPro-compatible) and report transaction status for domestic B2C and cross-border flows (e-reporting).

Should I use the franchise en base or opt into the real VAT regime?

The franchise en base (€82,800 trade / €36,800 services) exempts you from charging VAT but you also cannot recover input VAT. If your customers are VAT-registered businesses (who can recover the TVA you charge) or your input VAT is high, opting into the real regime (régime réel) is usually advantageous. Consult an expert-comptable.