MHA | New VAT changes to French imports for UK exporters from 1st…

New VAT changes to French imports for UK exporters from 1st January 2022

Posted on: January 11th 2022 · read

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Key changes to French Import VAT Rules - Effective 1st January 2022

From 1 January 2022 there are big changes to the way that UK businesses will import into France. Any UK business which sells DDP (Delivered Duty Paid) and therefore, is named as the importer of record will be required to register for VAT in France.

Previously it proved difficult for a UK business to register for VAT if it was selling to a French business. Instead, it was usually required to pay import VAT and recover this via a special VAT refund  procedure, the 13th VAT Directive.

The new rules will mean it is compulsory to register for VAT. The good news is that the import VAT will be treated in a similar way to the UK postponed import VAT accounting procedure. This means no cash outlay for the import VAT in order to clear Customs and no longer many months of waiting for a refund. Instead, it will be a netting off entry on the VAT return.

The French VAT ID will be needed as part of the import clearance along with an EU EORI number.

Get in touch

For help in getting this new regime in place and for support with VAT compliance in France, please contact a member of our Indirect Tax Team using our online enquiry form.

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