France: New temporary small parcel tax effective March 1, 2026

The French parliament on February 2, 2026, adopted the Finance Act for 2026 (read TaxNewsFlash), which, among other things, introduces a temporary €2 small parcel tax applicable to low value imports of goods into France effective March 1, 2026.

Effective date

The tax applies from March 1, 2026, until the entry into force of the expected EU-wide tax on parcels in November 2026, and no later than December 31, 2026.

Territorial scope

The tax applies to imports of small parcels below €150 entering France. However, it does not apply to parcels originating from territories linked to EU member states but located outside the EU customs territory (e.g., overseas countries and territories (OCTs)). In addition, imports from third countries where the entry takes place in French Guiana or Mayotte are excluded from the scope of the tax.

Consignments scope

The mechanism applies exclusively to consignments declared under the H7 simplified customs declaration (B2B, B2C, and C2C) and covers all import flows that do not benefit from an EU value added tax (VAT) exemption.

Person liable for tax

The liable party is the person responsible for import VAT as declared on the H7 declaration.

This may include:

• VAT taxpayers registered under the EU VAT import one-stop shop (IOSS) (under the jurisdiction of the tax authorities)
• VAT taxpayers and legal persons required to register for VAT in France, outside the IOSS mechanism (under the jurisdiction of the tax authorities)
• Operators not required to register for VAT in France (under the jurisdiction of the customs authorities)
• Non-taxable individuals (e.g., where no platform acts as intermediary) (under the jurisdiction of the customs authorities)

Computation and payment of tax

The tax is due per item of goods (according to the HS6 tariff classification) at the time of importation.

The tax amount is €2 per item.

At the HS6 classification level: if several goods share the same classification, the tax applies only once.

Example:

• A shipment valued at less than €150 contains three t-shirts with the same customs classification and one pair of trousers with a different classification.
• The applicable tax will be €4, broken down as follows:
  • €2 for the T-shirts, as they share the same customs classification
  • €2 for the trousers, as they fall under a distinct classification

Note that for imports outside the IOSS mechanism, French tax law requires that all taxes, duties, and charges due at the time of importation, excluding VAT itself, be included in the VAT base, which also applies to the new small parcel tax. However, under the IOSS mechanism, import VAT is exempt, and VAT on distance sales of imported goods is calculated based on the total price paid by the final customer, including any applicable taxes like the small parcel tax, if passed on by the platform at the time of sale.

Reporting obligations

Depending on the status of the liable party, reporting and payment obligations will be carried out either (1) with the French tax administration, or (2) with the French customs authorities:

With French tax administration

• For liable parties already subject to VAT obligations in France (whether or not they file via IOSS):
  • Reporting and payment are carried out via the professional online account or through an electronic data interchange (EDI) partner, using the annex to the VAT return.
• For operators registered under the IOSS in another EU Member State and not known to the French tax system:
  • If established outside the EU, there is a requirement to appoint a tax representative.
  • Registration through the IOSS business formalities portal is required.
    • Obligation to create a professional online account (tax portal)
    • Obligation to subscribe to the services required to file and pay VAT

With customs authorities

• The tax is assessed and collected directly via the H7 declaration.

Finally, note that a specific obligation applies to customs brokers, who must transmit to the liable parties the necessary data relating to this tax.

KPMG observation

Since the EU VAT electronic commerce reforms, the role of import VAT debtor is frequently assumed by platforms facilitating the sale of goods, particularly in distance sales of imported goods when their IOSS number is used on the H7 declaration. Platforms are therefore explicitly targeted through the legal and operational alignment with existing import VAT rules.

This new tax first requires platforms to quickly arbitrate how the cost will be passed on. Depending on their role in the transaction and their contractual leverage, they will need to determine whether to integrate the tax into the final price, recharge it to third‑party sellers, adjust commissions, or redirect flows through alternative logistics chains. These choices are strategic: they directly affect price competitiveness, margins, and overall economic balance in e‑commerce models driven by high volumes and low unit values.

From an operational and compliance perspective, the tax necessitates systems and process adjustments to secure collection, calculation, and reporting. Platforms will need to ensure reliable transmission of data from H7 declarations, organize reconciliation with VAT returns, and manage relationships with sellers, customs brokers, and logistics operators. Otherwise, the risk is twofold: increased exposure to audits and potential liability for reporting errors caused by third parties.

For more information, contact a KPMG tax professional:

Anne-Laure Benoist | anne-laurebenoist@kpmgavocats.fr

Juliette Delzors | jdelzors@kpmgavocats.fr

Philippe Stephanny | philippestephanny@kpmg.com