| As e-invoicing France moves closer to full digitalisation of its invoicing ecosystem, and to support this shift, the government has introduced a two-year “soft landing” period under the 2026 Finance Bill. This measure is designed to help businesses adapt to the upcoming mandates for B2B e-invoicing and B2C e-reporting—one of the most transformative tax reforms in the country’s history.
What the Grace Period Means
From 1 September 2026 to 31 August 2028, companies will benefit from a formal tolerance phase. During this period, businesses that demonstrate genuine efforts to comply will not face financial penalties, even if they encounter errors in the early stages under e-invoicing France.
The penalty waiver covers:
• Article 1737, III – Penalties for failing to issue invoices in the mandated electronic format
• Article 1788 D, I & II – Penalties for missing, inaccurate, or late e-reporting submissions
It’s important to note that e-invoicing and e-reporting obligations still begin on 1 September 2026, but businesses will have time to adjust and stabilise their processes without the immediate risk of sanctions as part of e-invoicing France.
Why This Matters
The upcoming reform under e-invoicing France introduces new technical, operational, and data-exchange requirements across all sectors. The two-year reprieve gives organisations the breathing room they need to:
• Upgrade ERPs and integrate with Partner Dematerialization Platforms (PDPs)
• Align with evolving technical specifications from the DGFiP
• Take part in ongoing interoperability tests
• Reduce risks such as invoice rejections, delays, supply-chain disruption, and cash-flow impact
A forthcoming Council of State Decree will further clarify how “good faith” will be evaluated during this waiver period under e-invoicing France.
Key Participants in France’s Electronic Invoicing System
France’s e-invoicing framework under e-invoicing France relies on a network of regulated entities, each responsible for ensuring that invoices are produced, exchanged, and reported correctly.
Participant Role
Supplier (Seller) Issues invoices in approved formats and submits them through a certified PDP
Buyer (Customer) Receives, processes, and pays invoices via their chosen PDP
PDP Validates formats, ensures compliance, converts files if needed, routes invoices, and sends reporting data to the PPF
PPF Acts as the national directory, centralises invoice and reporting data, and forwards information to the tax authority
DGFiP Oversees the framework and leverages data for VAT control and audits
OD Assists in format conversion and e-reporting but does not route invoices
How France’s E-Invoicing Workflow Operates
The operational model under e-invoicing France prioritises interoperability, standardisation, and secure data flows. Here’s how a typical transaction moves through the system:
Invoice Creation
The supplier generates the invoice in Factur-X, UBL, or CII. If needed, a PDP or OD manages format conversion.
Submission via a PDP
The supplier sends the invoice to a certified PDP, which checks all technical validations.
Interoperable Exchange
If the buyer uses a different PDP, the invoice is forwarded seamlessly until it reaches the buyer’s platform.
E-Reporting
The PDP extracts relevant data and transmits it to the PPF. For transactions outside e-invoice scope—such as B2C or cross-border—data is sent directly via PDPs or ODs.
Processing by the Authorities
The PPF consolidates all invoice and reporting data and channels it to the DGFiP for VAT oversight, audit preparation, and compliance analysis—ensuring a more transparent tax environment for e-invoicing France. |
