- From 1 January 2027, France will abolish the simplified VAT regime (RSI); affected businesses will move to monthly or quarterly CA3 VAT returns instead of annual CA12 returns with interim instalments.
- For most foreign non-established businesses registered for French VAT, the change should have limited impact because many already file under the normal VAT regime, often due to import-related activities.
- The rule for quarterly VAT returns will change: the current test based on VAT due (under EUR 4,000 per year) will be replaced by a turnover-based test.
- Quarterly filing will be allowed only if “adjusted turnover” does not exceed EUR 1 million in the previous year and EUR 1.1 million in the current year; otherwise, monthly filing will apply.
- “Adjusted turnover” includes not only sales/services but also certain reverse-charged acquisitions, purchases/imports, and exits from suspension regimes, which may especially affect foreign businesses operating in France.
Source: eurotax.fr
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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