Value Added Tax
Businesses based in an EU Member State which do not have a permanent establishment in France but which carry out VAT taxable transactions there must identify themselves, report these transactions and pay VAT to the Public Finances Directorate General.
Transactions carried out in France and liable to VAT there
For certain transactions carried out in France, foreign businesses which are not based in France are liable to VAT:
- Deliveries and sales of goods when delivery is in France
- Intra-Community acquisitions made in France
- Deliveries subject to the distance selling regime, when sales are made from another Member State to France (if the annual amount, exclusive of taxes, is more than €35,000)
- Certain services provided in France or for the benefit of customers residing or based in France
For some of these transactions, VAT is no longer paid by the company based outside France but directly by the purchaser of the goods or the user of services when the latter has a VAT ID number in France (reverse charge mechanism).
Relevant department
You must register your company, and then file your returns and pay the VAT to the Foreign Business Tax Department (SIEE) that reports to the Directorate for Non Residents (DINR). The Department’s contact details are as follows:
Service des impôts des entreprises étrangères
10, rue du Centre
TSA 20011
93465 Noisy-le-Grand Cedex
For further informations, please contact: + 33 (0)1 72 95 20 31
Opening hours: Walk-in from Monday to Friday between 9am and 4pm or by appointment.
Appointing a tax representative in France
Businesses based in another EU Member State are not obliged to appoint a tax representative in France.
However, to ensure a smooth relationship with the French authorities, you could always appoint an agent who will carry out the procedures on your behalf and under your responsibility. In this case, you should execute a power of attorney and send the original to the Foreign Business Tax Department.
Real regime
You are a foreign company carrying on a business activity in France without a permanent establishment there and whose relevant department is the Foreign Business Tax Department:
You operate under the monthly normal real regime (EM)
This concerns businesses that carry out transactions taxable in France on a regular basis.
You must file your return online every month by the 19th of the following month at the latest (transaction taxable in January; filing by 19 February at the latest).
If none of your transactions were taxable, you must file a “ZERO” return.
You operate under the quarterly normal real regime (ET)
This concerns businesses that carry out transactions taxable in France on a regular basis and that declare less than €4,000 in VAT due per year.
You must file your return online every quarter by the 19th of the month following the quarter at the latest (transaction taxable in Q1; filing by 19 April at the latest).
If none of your transactions were taxable, you must file a “ZERO” return.
You operate under the seasonal normal real regime (ES)
This concerns businesses that carry out transactions taxable in France on an occasional or seasonal basis.
You only have to file a return when you carry out a transaction taxable in France by the 19th of the following month at the latest by stating the period in question (transaction taxable in January; filing by 19 February at the latest).
If none of your transactions were taxable, you do not have to file a return.
MAJ DINR-PRO le 12/09/2023