Mandatory e-Invoicing and e-Reporting in France – what changes for you?
Over the past decade, the French government has launched strategic initiatives to increase its efficiency in collecting VAT. The technologies that have been designated to reach this goal are e-invoicing, and most recently e-reporting. Under the new mandate in France, which is specified in the legal order n°2021-1190 from September 15, 2021, VAT-liable business documents such as e-invoices generally have to be registered on and reported to the governmental platform Portail public de facturation (PPF, translates as public billing portal).
As a member of the FNFE, the official French National Forum for Electronic Invoicing, and member of the DGFIP PDP working group, Basware is closely following developments behind the mandate, and what they mean in practice, to deliver a compliant solution to customers on day one.
Your organization needs to identify which parts of your internal invoice processes are affected by these changes mandated by the French government:
Requirements for sending e-invoices
The deadlines of the obligation to send B2B e-invoices depends on company size: 1st July 2024 for large enterprise companies, 1st January 2025 for mid-sized companies, 1st January 2026 for the medium to small companies and micro-companies (see details below).
Invoice lifecycle management
The mandate also requires invoice lifecycle management, which means transmitting regular invoice status updates to the government platform PPF – either directly or via a partner digitalization platform (PDP). Some statuses will be mandatory (invoice submitted, refused, rejected, received) and other will be optional (disputed, approved, etc.).
Options for data transmission
E-Invoices and e-Reporting data can be either submitted directly into the government platform PPF (Portail public de facturation) or can be sent through a 3rd party solution of an accredited service provider (named PDP for plateforme de dématérialisation partenaire). This means companies will no longer send invoices directly to customers, but either through the PPF or the 3rd party PDP. The French government calls this approach with those two options the “Y-model.”
Requirements for receiving e-invoices
Companies subject to VAT in France need to be able to receive e-invoices in the mandated formats UBL 2.1, UN/CEFACT CII, and Factur-X as of 1st of July 2024. Make sure your AP solution can receive and process the permitted formats.
Requirements for e-reporting
E-invoicing will not be mandatory for B2C and cross-border invoices. However, the government will require French companies to send e-reporting files for these transactions with a similar set of data-points in specified formats to the government platform four days after the end of the week for companies subject to the standard reporting scheme (réel normal) and within seven days after the last day of the month for all other companies.
Following the deadlines specified below, only certain e-invoice formats will be accepted: UBL 2.1, UN/CEFACT CII, and Factur-X. This means that by latest 2026, paper and simple PDF invoices will no longer be valid in France for domestic B2B e-Invoicing. If you issue invoices electronically, they must also be archived electronically, so you will need to have a solution for electronic invoice archiving by latest 2026.