VAT in France 2026 – Complete Guide for E-Commerce Businesses
France applies a multi-tiered VAT system that has evolved significantly in 2025 and 2026, with notable changes to rates on energy products and a major mandatory e-invoicing reform beginning in September 2026. For e-commerce businesses selling on the French market, understanding the current rules is essential.
VAT Rates in France 2026
France applies four VAT rates in 2026: 20% (standard), 10% (intermediate), 5.5% (reduced), and 2.1% (super-reduced).
20% — Standard Rate
Applies to most goods and services not covered by reduced rates, including clothing, alcoholic beverages, cosmetics, cars, most electronics, and professional services.
From August 2025, gas and electricity subscription charges moved from 5.5% to the standard 20% rate, in line with EU harmonisation rules.
10% — Intermediate Reduced Rate
Applies to:
- Unprocessed agricultural products not intended for human consumption
- Renovation of housing raising energy standards
- Social housing
- Firewood
- Passenger transport
- Restaurants and catering
- Non-reimbursed medicines
- Forestry and logging works (extended to 31 December 2028 under the 2026 Finance Act)
5.5% — Reduced Rate
Applies to:
- Basic food products (excluding alcohol, confectionery, and caviar)
- Books
- Feminine hygiene and sanitary protection products
- Medical equipment for disabled persons
- Heat produced from renewable energy sources
- Live performances
- Residential solar panel installations under 9kW (from October 2025)
- Cooling energy distributed through networks (from February 2026)
- Air-to-air heat pumps meeting environmental performance criteria (2026 Finance Act)
2.1% — Super-Reduced Rate
Applies to:
- Medicines covered by state reimbursement
- Sale of live animals for slaughter
- Some cultural events (first performances)
- Certain press publications
When Is VAT Registration Required in France?
VAT registration in France is mandatory for foreign companies carrying out taxable transactions there. It is advisable to register before commencing planned activities to avoid penalties and interest from the French tax authorities.
Registration is required in particular when:
- Exceeding the €10,000 EU-wide threshold for distance selling without active VAT OSS registration
- Selling goods from France to other EU countries
- Selling goods to consumers through platforms such as Amazon or eBay using their French warehouses (e.g. FBA)
- Importing goods into France
- Storing goods in a warehouse in France
- Organising cultural or similar events in France
- Making intra-Community supplies (ICS) or acquisitions (ICA) of goods
If taxable activities have already commenced without registration, retroactive registration is required along with settlement of all outstanding periods — be prepared for interest charges and potential penalties. Obtaining a French VAT number typically takes approximately three months.
VAT Numbers in France — SIREN and SIRET
When a company registers in France, the national statistics institute (INSEE) assigns two identification numbers:
SIREN — a unique nine-digit identifier for the company’s main headquarters, equivalent to the RCS (Trade and Companies Register) number. Used on all commercial documents.
SIRET — a fifteen-digit number consisting of the nine-digit SIREN plus a five-digit NIC (Internal Classification Number) indicating the geographical location. Each branch of the company receives its own SIRET number.
French VAT Invoice Requirements
A VAT invoice must be issued for every taxable supply. Invoices must be retained for 10 years.
Required invoice elements include: date of issue, unique sequential number, full addresses of supplier and customer, supplier’s VAT number, description and quantity of goods or services, unit prices, delivery date (if different from invoice date), net value, applicable VAT rate(s), VAT amount broken down by rate, and total gross invoice amount.
Where special provisions apply — such as the reverse charge or zero-rating for exports — the relevant annotation and applicable directive reference must be included.
Mandatory E-Invoicing in France — Starting September 2026
France is introducing mandatory B2B e-invoicing in two phases:
1 September 2026 — Large and medium-sized enterprises must issue structured electronic invoices for domestic B2B transactions. All companies, regardless of size, must be able to receive electronic invoices from this date.
1 September 2027 — The obligation to issue e-invoices extends to small and micro-enterprises.
E-invoices must be exchanged via accredited platforms (Plateformes Agréées, or PAs). Accepted formats include UBL 2.1, CII 3.0, and Factur-X. E-reporting obligations for B2C and cross-border transactions apply in parallel.
For e-commerce businesses operating in France, this means updating invoicing systems and connecting to a certified platform well before September 2026.
VAT Returns and Filing
VAT taxpayers in France may settle VAT monthly or quarterly, depending on their annual liability. If the annual VAT liability does not exceed €4,000, quarterly settlements are permitted.
Deadlines for VAT returns vary by taxpayer type but are generally set around the 19th–24th day of the month following the reporting period. All declarations must be filed and paid electronically. France does not require an annual VAT return.
Tax Penalties and Interest
French tax authorities apply a conservative approach to compliance. Key penalties include:
- Late VAT payment: a penalty of 5–10% of the tax amount due
- Monthly interest on unpaid VAT: 0.2% per month from the date of default
- Late submission of VAT declarations: penalties apply on a per-period basis
Retroactive registration and settlement of all outstanding obligations is required where activities commenced without proper VAT registration.
VAT Refunds
Businesses that have paid VAT in France but are not established there and not registered for French VAT may apply for a refund by completing the VAT-REF form and submitting it to the relevant French tax authorities. The minimum refundable amount is €760 for applications covering a period of three months to less than one year.
Note: companies already registered for VAT settlements in France cannot use this refund procedure — they recover input VAT through their regular VAT returns instead.
Reverse Charge in France
The reverse charge mechanism applies when a supplier without a presence in France sells goods or services to a VAT-registered buyer in France. In these cases, the buyer accounts for the VAT rather than the supplier, who issues an invoice without charging VAT. This applies to all supplies of goods and services in France, with certain exceptions in B2B transactions.
Summary
France’s VAT system in 2026 has seen notable changes — including the reclassification of electricity subscriptions to the 20% rate, new reduced rates for renewable energy equipment, and the approaching mandatory B2B e-invoicing deadline of September 2026. For e-commerce businesses, staying current with these changes is essential for proper compliance and competitive operation in the French market.
For any questions or additional information, our team of experts is ready to assist: Contact us — amavat®
Iga Turniak
