Friday 17th January, 2020
The French 2020 budget includes measures to implement mandatory e-invoicing to combat VAT evasion. It's forecast that the changes to regulations will come into force in 2023. In the meantime, businesses can prepare by mapping out their processes and starting to digitalise their invoicing.On December 28, 2019 French President Emmanuel Macron promulgated the Budget Law for 2020 adopted by the National Assembly and the Senate.
One highly anticipated provision of the Budget Law is Article 153, regarding the introduction of new digital tax controls to combat value-added tax (VAT) evasion. The Article states that invoice transactions which are subject to VAT must be issued in electronic form and the data contained therein must be transmitted to the tax administration. The Budget Law forecasts that these regulations, and therefore mandatory e-invoicing, will come into effect January 2023 at the earliest.