France rewrites the VAT franchise en base and opens it to EU-established small businesses from 2025
This page records one dated change. For the rules in France as they stand today, see the France guide →
- Jurisdiction
- France
- Tax
- VAT
- Change type
- Threshold
- Status
- In force
- Impact
- FYI
- Announced
- 30 December 2023
- Effective
- 1 January 2025
- Authority
- Journal officiel de la République française (Légifrance)
- Verified
- Fetched from official source · high confidence
Small businesses established in France using the franchise en base, and businesses established in another EU Member State with EU-wide turnover up to EUR 100,000 selling in France.
No action — monitoring only; the domestic thresholds were later amended by LF 2025 Art. 32 and restored by Loi n° 2025-1044. The EU cross-border franchise (Art. 293 B bis CGI) remains in force.
Article 82 of Loi n° 2023-1322 du 29 décembre 2023 (LF 2024) transposed EU Directive 2020/285 (SME VAT scheme) with effect from 1 January 2025. It rewrote the domestic franchise en base in Art. 293 B CGI: 85,000 € / 37,500 € for the previous year and 93,500 € / 41,250 € for the current year, with separate ceilings for lawyers, authors and performers. It also created Art. 293 B bis, which extends the franchise to taxable persons established in another EU Member State whose EU-wide turnover does not exceed 100,000 €. LF 2025 Art. 32 later replaced the domestic thresholds. Loi n° 2025-1044 then restored them retroactively from 1 March 2025.
What changed in detail
Article 82 of Loi n° 2023-1322 du 29 décembre 2023 de finances pour 2024 (JORF n°0303, 30 December 2023) transposes Council Directive (EU) 2020/285 on the small-business scheme. Its changes to the Code général des impôts apply from 1 January 2025.
Domestic franchise (Art. 293 B, rewritten). A taxable person established in France is exempt from paying VAT while its French turnover does not exceed:
| Year assessed | Total turnover | Services other than on-site catering and accommodation |
|---|---|---|
| Previous calendar year | €85,000 | €37,500 |
| Current year | €93,500 | €41,250 |
Lawyers, authors and performing artists have separate ceilings: €50,000 (previous year) and €55,000 (current year) for their regulated activity, and €35,000 / €38,500 for other operations. Once a current-year ceiling is exceeded, the franchise stops for operations from that date.
EU sellers (new Art. 293 B bis). Art. 293 B applies to taxable persons established in another EU Member State for their supplies in France where their EU turnover does not exceed €100,000 in the previous and current year, and they have notified their home state that they intend to use the franchise in France. It applies from the date their home state communicates their identification number.
New Art. 293 B ter lets French businesses use the scheme elsewhere in the EU, with quarterly reporting to the French administration. Invoices must state “TVA non applicable, article 293 B du CGI” or “article 293 B bis du CGI”.
What it means
The EU cross-border franchise (Art. 293 B bis) and the French-side procedure (Art. 293 B ter) are still in force. The domestic ceilings had a more turbulent path. LF 2025 Article 32 replaced them with a single €25,000 / €27,500 threshold from 1 March 2025 (fr-franchise-tva-lf2025-art32). Loi n° 2025-1044 then reversed that change, which restored activity-based ceilings retroactively from 1 March 2025 (fr-franchise-tva-midy-repeal-2025). For the domestic thresholds today, read that later law, not this one.
Proof
L'article 293 B est applicable aux assujettis établis dans un Etat membre de l'Union européenne autre que la FranceArticle 293 B applies to taxable persons established in a Member State of the European Union other than France
Archived from the official distribution · JORFARTI000048727435 (article 82) · JORFTEXT000048727345 · NOR ECOX2322957L · JORF n°0303 du 30 décembre 2023 · echanges.dila.gouv.fr
No source snapshot. The source is the text as published in the Journal officiel. A copy of the official open-data edition of the Journal officiel is kept with this record.