TVA (French VAT) — The Basics
French VAT Rates
20% — Standard rate (most goods and services)
10% — Reduced (restaurants, renovations, transport)
5.5% — Reduced (food, books, energy)
2.1% — Super-reduced (press, medications)
Auto-Entrepreneur TVA Exemption
Micro-entrepreneurs are exempt from charging TVA if annual revenue stays under: €36,800 (services) or €91,900 (trade). Add "TVA non applicable – article 293B CGI" to all invoices.
B2B Exports to the US
Services provided to US businesses (B2B) are generally outside scope of French TVA (reverse charge mechanism). No TVA to charge on US client invoices. This is a significant advantage for consultants billing US clients.
TVA Declaration & Payment
If registered for TVA: file monthly or quarterly returns via impots.gouv.fr. Collect TVA on French clients, pay it to the government, and reclaim TVA paid on business expenses. Net position due monthly/quarterly.
Finding a French Accountant (Comptable) for Expats
- For SASU/SAS/SARL: a comptable (accountant) is legally required for annual accounts. Budget €1,500–€5,000/year depending on complexity.
- Look for accountants who specialize in dirigeants d'entreprises étrangers (foreign company directors) — they understand the US reporting intersection
- Directories: Ordre des Experts-Comptables (experts-comptables.fr), Chambre de Commerce
- English-speaking accountants in France: firms like Ibanista, Connexion Emploi, or search "English-speaking accountant Paris France"
- For dual US-French compliance (SASU + Form 5471 + US return): you need both a French comptable AND a US expat tax specialist. They must communicate to avoid double-counting.
Best Accounting Software for Expat Entrepreneurs
Pennylane
Best overall for SASU founders. Connects to French banks, automates TVA, accountant collaboration built-in. Very expat-friendly. pennylane.com →
Freebe
Perfect for auto-entrepreneurs and freelancers. Invoicing, charge declarations, URSSAF integration. Simple, affordable. freebe.me →
QuickBooks France
US-familiar accounting tool with French TVA support. Useful if you have US clients/reporting needs and want a familiar interface. quickbooks.intuit.com →
Shine / Qonto (Neobanks)
Business bank accounts with built-in invoicing, expense tracking, and accounting integration. Shine targets freelancers; Qonto targets SMBs. Both integrate with Pennylane.
French Income Tax
Personal and business tax declarations