France e-invoicing in B2B transactions to become mandatory by 2023

The French government has pressed ahead to drive a wider rollout of e-invoicing and e-reporting. Mandatory business to government (B2G) e-invoicing is already standard practice in France, with companies required to use the national invoicing portal Chorus Pro. But in the coming years, companies will need to report on all domestic business to business (B2B) transactions.

The French tax authority hopes to reduce cost, increase efficiency and better combat fraud by mandating that companies switch to e-invoicing over the coming years. 

Compliance deadlines vary depending on the size of your business. In this article, we’ll explain the different timelines, what you need to do to stay compliant and why businesses are turning to comprehensive, easy-to-use systems to empower their AR (Accounts Receivable) and AP (Accounts Payable) teams ahead of the government’s first deadline.

 

What are the current rules for France e-invoicing?

Currently, only B2G transactions in France require e-invoicing, with an archive length of 10 years. The French authorities have mandated B2G e-invoicing since 2017 and in January 2020 required all government suppliers to submit electronic invoices.

Transactions have to be processed using Chorus Pro, the French government’s platform of choice. Chorus Pro only accepts structured invoices but does feature a function to help companies enter details manually into the system. As with all manual options, there is a risk of human error, which forward-thinking finance leaders are countering by investing in tools that support AR and AP teams.

 

What are the deadlines for France’s e-invoicing in B2B?

The deadlines for France e-invoicing for B2B domestic transactions are different depending on the size of your business. We’ve listed these below:

  • Large Enterprises: 1st January 2023
  • Medium-Sized Companies: 1st January 2024
  • Small Businesses: 1st January 2025

However, all French companies will need to be able to receive e-invoices by 2023. It’s crucial for businesses that operate in France to have robust systems in place that can ensure they remain compliant as the country-wide mandate takes effect for the largest enterprises.

Although organisations won’t need to submit e-invoices for foreign B2B transactions yet, e-reporting will be mandatory.

 

Getting ahead of incoming changes to France’s e-invoicing mandate

With two years until France mandates large companies to use e-invoicing, some companies and finance leaders may be tempted to put off investing in a solution. However, the necessity of acting quickly cannot be overstated for finance functions.

E-invoicing for B2B transactions can help finance departments to reduce cost, minimise human error and process transactions faster. By leveraging fully digital technology solutions like Tungsten Network’s Total AP and Total AR solutions, finance departments can respond to shifting demands and compliance changes as they occur.

 

Stay compliant with a full suite of tools for Total AP and AR control

Digitising your AR and AP processes helps your business to ensure tax and fiscal compliance at all times. Empower your AR and AP teams to quickly and simply process financial transactions with a global tool that ensures compliance across complex tax jurisdictions. 

Avoid crippling fines and fees by reducing human error and increasing end-to-end process visibility. Guarantee invoice delivery and improve faster payments and customer relationships. Augment your finance team’s capabilities with secure archiving and access to real-time, line-level analytics. 

 

Interested in learning more? 

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