France: Delay in e-invoicing and e-reporting implementation
Delay in implementing the electronic invoicing (e-invoicing) and electronic reporting (e-reporting) mandates originally set to begin in July 2024
Originally set to begin in July 2024
The French Ministry of Finance on 28 July 2023 announced a delay in implementing the electronic invoicing (e-invoicing) and electronic reporting (e-reporting) mandates originally set to begin in July 2024.
France has been working over the last several years at implementing a dual continuous transaction controls mechanism involving:
- A government regulated e-invoicing mandate for domestic business-to-business transactions between French taxpayers registered for VAT purposes
- A digital reporting requirement covering most of the other transactions falling within the French VAT return including domestic business-to-consumer sales, cross-border sales of goods and services (except for imports of goods), certain domestic sales made by nonresident taxpayers registered for VAT purposes, and payments of services subject to the cash accounting mechanism.
These mandates were initially scheduled to be gradually implemented, with all taxpayers required to receive e-invoices for purchases effective 1 July 2024, and for sales, France planned to implement the e-invoicing and digital reporting mandate in three phases:
- Effective 1 July 2024 for large companies
- Effective 1 January 2025 for medium-sized companies
- Effective 1 January 2026 for small businesses
However, the announcement cancels this timeline, and the parliament will further discuss an updated timeline during debates for the Finance Act for 2024. In the meantime, the Ministry of Finance will continue to work on the implementation of the e-invoicing and digital reporting mandates to offer businesses the maximum guarantees for a fully successful transition.
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