France mandates electronic invoicing for businesses

Since September 1, 2026, all VAT-registered companies in France must be able to receive electronic invoices, while larger businesses and ETIs (Entreprises de Taille Intermédiaire) are required to issue them. SMEs, micro-enterprises, and small businesses will have to issue electronic invoices starting September 1, 2027.

Clarifying the requirements for electronic invoices

Many SME leaders have assumed that sending PDFs is enough, but electronic invoices must contain structured data that can be read by machines. The most common format for SMEs is Factur-X, which includes a readable PDF and an embedded data file, though not all versions of this format are suitable for invoices between French companies.

Approved platforms for electronic invoicing

Companies must use a private operator registered with the administration, as there is no free public service for electronic invoicing. Over 160 platforms are approved, and service providers must confirm a company’s listing in the directory with a billing address to ensure large suppliers can send their invoices.

Risks of non-compliance with electronic invoicing

Electronic invoices may be rejected if they lack required data, have incorrect SIREN numbers, or wrong VAT amounts. In such cases, service providers must alert the company, correct the invoice, and resend it. If a provider cannot explain this process, it may indicate a problem.

Handling received electronic invoices

Receiving electronic invoices is a key part of the reform. Suppliers send data directly to the company’s platform, and someone must retrieve these invoices, match them with orders, and confirm their status. Many service providers may have focused on issuing invoices and overlooked the incoming flow, which makes up half the work.

Responsibilities of companies and service providers

Companies must determine what aspects of compliance depend on them and what depend on their service provider. If using market software, the publisher is responsible, but the company must ensure the software is updated. If using an internal tool, the company must ensure compliance through a developer. In most cases, companies can keep their existing tool and add necessary features rather than replacing the entire system.

Risks of delaying electronic invoicing compliance

Waiting until 2027 carries risks, including fines of up to 15 euros per non-electronic invoice, capped at 15,000 euros annually, and 250 euros per missing e-reporting transmission. Operational risks include delayed payments or disputes over missing supplier invoices. Service providers may also be overwhelmed in June 2027, causing delays. The project can be completed quickly on existing systems, but the quality of customer data and availability of knowledgeable staff can affect the timeline.