France Extends VAT Exemption to Air Transport in Guadeloupe and Martinique

• France has extended the 0% VAT treatment for specified domestic transport services in Guadeloupe and Martinique to qualifying air passenger and freight transport. [vat-solutions.com]
• The extension applies to services supplied from 21 February 2026 under Article 100 of Finance Law No. 2026-103 of 19 February 2026. [vat-solutions.com]
• The provision previously covered qualifying maritime passenger and freight transport. The change aligns qualifying air transport with that treatment.

Extended article

France has updated its VAT treatment of domestic transport in Guadeloupe and Martinique by extending the existing exemption to air transport.

Article 100 of Finance Law No. 2026-103 extends the scope of Article 295(1)(1) of the French Tax Code to qualifying air passenger and freight transport services. The measure applies to services supplied from 21 February 2026. [vat-solutions.com]

Before the amendment, the relevant treatment applied to maritime passenger and freight transport carried out within Guadeloupe and Martinique. The amendment brings qualifying air transport within the same VAT treatment.

The French tax authority published the related doctrine update, ACTU-2026-00140, on 2 September 2026. Operators should review the detailed administrative guidance to determine whether a particular route and service falls within the territorial and substantive conditions for the exemption.

External links

• Read the French tax authority update ACTU-2026-00140 [IBFD Tax N…ember 2026 | Outlook]
• Review the 2026 French VAT measures [vat-solutions.com]
• Review the updated overseas VAT doctrine [vatfaqs.com]