Companies located in the EU making sales to individuals located in other member states apply the VAT rate of their own country up to a certain revenue threshold. These thresholds were set depending on the country at $35.000 or $100.000. However, from July 1st, 2021, this threshold was harmonized to $10.000.
Meaning if this threshold is exceeded, the VAT of the destination country is applied.
VAT correction in France
Public
France
Author: Kristina Dosen
Category:
General information
Views:
1153
Content accuracy validation date:
14.12.2021
Content accuracy validation time:
08:11h
Upon this change many French companies have wrongly applied French VAT, when they should have applied the distance sales VAT rate of the destination country, To avoid double taxation French authorities have released a Decree on December 1st, stating that French companies may file restitution claims on wrongly collected VAT, provided they have substantial documentation proving distance sales and payment of French VAT. Upon receiving reimbursement proper VAT can be paid without double taxation. The French Tax authority has noted that the refund process can take longer than expected and that both companies and member states can expect a longer recovery procedure.
Other news from France
New document was uploaded: S4F backoffice patch
Author: Kristina Dosen
S4F backoffice patch is intended for users who have already installed S4F backoffice and are intended to update existing installations to latest version. To do so apply only patches that are marked with version number that is newer than your currently installed instance of backoffice. Read more
New document was uploaded: Q& A from the webinar: Fiscalization and online sales in European countries
Author: Nikolina Basić
On May 15th, 2025, Fiscal Solutions organized a free webinar on the topic of "Fiscalization and online sales in European countries". The webinar was held by Fiscal Solutions Legal Consultant Nikolina Basić. Let’s find out more about answers to questions asked during the webinar. Read more
New document was uploaded: Recorded webinar: Fiscalization and online sales in European countries
Author: Nikolina Basić
On May 15th, 2025, Fiscal Solutions organized a free webinar on the topic of "Fiscalization and online sales in European countries". The webinar was held by Fiscal Solutions Legal Consultant Nikolina Basić. Let’s delve deeper into this topic! Read more
France updates the Factur-X standard for the 2026 e-invoicing mandate alongside harmonization with German e-invoicing standards.
France
Author: Tara Nedeljković
France and Germany released updated e-invoicing formats—Factur-X 1.07.3 and ZUGFeRD 2.3.3—on May 7, 2025, as part of their ongoing harmonization efforts, with the changes taking effect from May 15, 2025. Factur-X 1.07.3 includes key updates such as refreshed EN16931 code lists, VATEX codes for exemptions, and required document codes to support France’s 2026 B2B e-invoicing mandate. Read more
End of intra-model European electronic invoice and new rules introduced
Public
Author: Nikolina Basić
Starting July 1, 2030, the EU will eliminate the Intra models for VAT reporting, replacing them with mandatory electronic invoicing under Directive 516/2025. The new system, part of the VIDA 2030 Package, will require businesses to issue standardized e-invoices for all intra-EU B2B transactions, with data transmitted to VIES for cross-border VAT monitoring and fraud prevention. This shift aims to... Read more
Understanding the Digital Services Act
Author: Ivana Picajkić
The Digital Services Act (DSA) is an EU regulation designed to ensure safer and more transparent online environments by imposing new responsibilities on digital service providers, including those outside the EU. It applies to a broad range of online platforms, with stricter obligations for very large platforms, but also key requirements for medium-sized businesses, such as EU representation, transparency, and content moderation reporting. Read more
New document was uploaded: S4F backoffice patch
Author: Kristina Dosen
S4F backoffice patch is intended for users who have already installed S4F backoffice and are intended to update existing installations to latest version. To do so apply only patches that are marked with version number that is newer than your currently installed instance of backoffice. Read more