France is pressing ahead with one of the European Union’s most ambitious digital tax reforms, the rollout of a mandatory B2B electronic invoicing and e-reporting regime. This move aims to modernise VAT collection, combat fraud, and improve operational efficiency across all companies operating in France.
Since 2023, the French government has been steadily preparing for this transformation as part of a broader digital tax strategy. Under the new framework, businesses in scope must issue invoices in structured formats and be able to receive them through certified platforms. By doing so, invoice processing will become faster, VAT reporting will be more accurate, and administrative overheads will be significantly reduced.
With deadlines now confirmed, the time for planning is over. Companies must ensure their systems and processes are ready to meet both technical and legal requirements well ahead of the go-live dates.
Understanding the France B2B E-Invoicing Mandate
The mandate has its legal foundation in Ordinance No. 2021-1190 and Article 26 of the 2022 Finance Law. It applies to VAT-registered businesses established in France and requires them to issue, receive, and electronically report domestic B2B invoices.
Invoice data will flow through the Portail Public de Facturation (PPF), the government’s public invoicing portal, using structured formats such as UBL or CII. A hybrid format, Factur-X, combines a PDF with embedded XML data, ensuring both human readability and machine processing.
This system builds on the Chorus Pro platform already in use for B2G (business-to-government) invoicing since 2020. Over time, the scope will expand to cover B2C transactions and cross-border reporting through structured e-reporting.
Revised Timeline: Final Dates Confirmed
Originally set for July 2024, the rollout was postponed to allow more time for readiness. The French government has now locked in a phased approach:
- 1 September 2026 – Large and mid-sized businesses must comply.
- 1 September 2027 – Small and micro-businesses follow.
In June 2025, the National Assembly rejected proposals for further delays, confirming these dates as final. While a three-month grace period may be granted by decree, companies should treat September 2026 and September 2027 as immovable deadlines.
Key Technical and Regulatory Developments Since May 2025
A number of updates have reshaped the technical backbone of the mandate.
AFNOR Specifications Version 3.0
In May and June 2025, AFNOR released version 3.0 of its technical specifications, refining the data model, invoice lifecycle stages, and message formats. Three formal standards were introduced:
- XP Z12 012 – Data model and business rules for invoice data exchange
- XP Z12 013 – API standards for ERP/PDP communication
- XP Z12 014 – Expanded e-invoicing use cases, with another revision due in July 2025
The Factur-X format was also updated to v1.07, bringing it in line with EU semantic standards and supporting additional lifecycle states.
Peppol Integration and PPF Directory Launch
In July 2025, France’s DGFiP was recognised as the official Peppol Authority. This allows certified Partner Dematerialisation Platforms (PDPs) to route invoices domestically and internationally via the Peppol Network.
On 27 June 2025, the PPF business directory went live, listing over 8,000 companies and enabling address-based routing of invoices. Over 90 PDPs are currently engaged in sandbox testing, with Peppol endpoints and validation tools being progressively integrated.
PDP Certification Framework
DGFiP has confirmed it will introduce two levels of certification:
- Compatible Solution – For basic routing and messaging platforms
- Approved Platform – For fully certified PDPs meeting all legal and technical standards
This tiered approach offers smaller providers a pathway to full compliance.
The Pilot Phase: Testing the Future
France’s e-invoicing pilot, launched in early 2025, is moving through three phases:
- Phase 1 (Q1–Q2 2025): Initial testing of data exchange, address book synchronisation, and data flow.
- Phase 2 (Q3 2025): Interoperability testing across multiple PDPs, focusing on error handling and e-reporting.
- Phase 3 (Q1 2026): Full simulations including invoice clearance, VAT audit trail reporting, and integration with both Peppol and PPF.
The final testing phase begins in February 2026 and will include validation of the national “concentrator”, a data aggregation and audit tool.
Preparing for the Mandate: Steps for Businesses
With less than a year before the first compliance deadline, businesses should be taking action now. This includes:
- Selecting a certified or soon-to-be-certified PDP
- Registering in the PPF business directory
- Conducting internal testing in line with AFNOR’s Z12 standards
- Reviewing VAT reporting obligations for non-invoiced and B2C transactions
The earlier companies start, the smoother the transition will be, especially as certification slots for PDPs and system integrations may become scarce closer to the deadline.
Why This Matters for Your VAT Compliance Strategy
Beyond avoiding penalties, aligning with the France B2B e-invoicing mandate has broader benefits. Real-time invoice exchange improves cash flow visibility, reduces payment disputes, and creates a complete digital audit trail. For VAT compliance teams, it means faster reconciliation and more accurate tax reporting.
In a wider context, France’s move is part of the EU’s trend toward continuous transaction controls (CTCs). Businesses that adapt early will be better placed to handle similar requirements in other jurisdictions.
About VAT IT E-Invoicing
At VAT IT, e-invoicing is part of our end-to-end VAT ecosystem – alongside reclaim and compliance. As an active participant in France’s pilot programme and a certified Partner Dematerialisation Platform (PDP), we work closely with the DGFiP and AFNOR to deliver compliant, user-friendly invoicing solutions. Our technology integrates seamlessly with ERP systems, Peppol routing, and the PPF, ensuring businesses stay ahead of regulatory deadlines while keeping operations simple, connected, and future-proof.
