In France, VAT on the supply of goods has until now only become chargeable on the actual delivery of the goods, unlike VAT on the supply of services, which becomes chargeable on payment of the deposit.
This provision was contrary to European law and in particular to Article 65 of Directive 2006/112/EC (pdf).
Therefore, as from 1 January 2023, in order to comply with European law and to avoid this difference in treatment between supplies of goods and services, France has changed this rule and VAT on supplies of goods will also become due upon payment of the deposit.
We therefore urge you to take the necessary measures in your invoicing systems and customer contracts to comply with these new obligations.
Would you like to know more about this topic? Do not hesitate to contact our experts!
Source: entreprendre.service-public.fr (in French)
