Transition period on new import reverse charge in France

Reverse charge on import VAT is automatic in France since January 2022. However, a transition period is granted by French tax authorities for those foreign companies that still do not have a French VAT number and are making imports in France: i) they will have to initiate the VAT registration no later than 1 March, 2022, ii) VAT number must be provided when making imports at Customs no later than 30 June 2022 – end of transition period.

In case your business is making imports in France but still does not have a French VAT number, you will be able to import goods and pay import VAT using your customs declarations provided you can prove that your company has initiated the VAT registration process before 1 March 2022. From a practical perspective, in order to make the import without a VAT number benefiting from this transition period, as an exception, the company shall include in the customs declaration a new special mention G0008 «redevable non identifié à la TVA en France» (taxpayer not identified for VAT in France).

Possibility of using special mention G0008 (taxpayer not identified for VAT in France) at the customs declaration, as part of the transition period, will only be available until 30 June, 2022. After this deadline, if a taxpayer does not have a French VAT number when making imports in France, this will be considered a reporting irregularity and penalties will apply - 5% of the deductible VAT pursuant to Article 1788 A of the French General Tax Code.

Mandatory VAT registration if you make imports in France

All business making imports in France must have a VAT identification number in the country in order to apply the imports reverse charge mechanism, mandatory since 1 January, 2022.

In consequence, foreign businesses making imports in France and without a French VAT number yet, must start the VAT registration as soon as possible so they are able to keep importing goods in the country.