Is your company liable for VAT and does it provide services in the European Union? You are therefore subject to the European declaration of services or DES.
What is DES?
The DES is a declaration to be provided each month when you invoice a company established in the EU, according to a calendar depending on the country. There is no minimum amount from which it applies: any invoiced intra-com service is therefore subject to it.
The declaration must be sent to French customs either by filling a paper form (reserved for beneficiaries of the basic franchise) or online via the website pro.douane.
Which businesses are affected?
All companies providing services in another Member State of the EU are subject to the DES, and this from the first invoice sent, with some exceptions: passenger transport services, travel agencies, services related to a building, event services, renting of some means of transportation. This list is not exhaustive.
The obligations concerning the DES are fiscal and legal. Beware the fines! You must comply with the legal deadlines specified on the French customs website and of course send the declaration to the authorities for each invoiced service. Failing to do so would cause fines up to € 1500 per month for each invoice. It is possible to entrust the formalities relating to the DES to providers. All formalities related to the DES can be subcontracted.
The European Services Declaration should not be confused with the Trade of Goods Declaration / Intrastat (DEB), which are two different formalities.
ASD Group offers a complete service of assistance for your DES and advises you on the different aspects of the regulation. Contact us for all the details.