Mandatory electronic billing may cost self-employed in France €600 per year

Self-employed workers in France are waiting for clarification on incoming mandatory electronic billing rules amid fears the measure may jeopardise the financial stability of thousands of workers. 

The rules mean that in the coming years all VAT registered businesses will need to switch to electronic invoicing. 

For 2025 the threshold before the requirement to charge VAT is €93,500 for most business activities and €41,250 for services other than hospitality or on-site sales.

Starting in September 2026, the rule will apply to large and medium sized businesses, and from September 2027, to all businesses – including individual self-employed workers.

While the government says this will cut fraud and increase government revenue by up to €10 billion, the expected cost of the changes has led to anger among many small business owners and the self-employed. 

These groups were initially expected to have made the switch by September 2026 in line with larger businesses, but were given more time with the extended deadline. 

Similarly, controversial changes to VAT thresholds for self-employed workers were recently rejected by MPs.

Switch comes with annual bill

For larger companies, the switch to electronic billing is straightforward, and many already use this method. 

For smaller companies and self-employed workers however the system is a major change, not least because the switch requires working with an entirely new paid for electronic system. 

The government previously said it would offer a free service for the switch but has since cancelled this, meaning all companies and self-employed people will need to use private systems. 

There is an officially-approved list of systems the government will accept, although it is ‘transitional’ and could be subject to change at any point, said Jean-Guilhem Darré, head of the union for independent workers (Syndicat des Indépendants). 

Various pricing models exist, but most will likely use a tiered system based on usage, with the cheapest beginning at around €50 per month (€600 per year), Mr Darré said to French media outlet Capital. 

This is likely to be a noticeable cost for those self-employed workers on the lower end of the earnings scale although it is thought many banks and accountants may provide solutions within the fees already charged to smaller businesses. 

The additional billing “will jeopardise the self-employment regime itself,” Mr Darré added. 

Government forges ahead with plans

MPs have reacted to the criticism from unions and self-employed workers.

Since the summer of 2024, following the legislative elections and after the government announced it would no longer provide a free electronic billing service, several MPs have posed questions in the Assemblée nationale over the matter. 

The government has been asked to further postpone or even cancel the plans, with MPs arguing that the scheme is not workable unless the previously promised free service is delivered. 

The government has failed to react to these questions, however, and during a debate in the Assemblée nationale in April, a vote confirmed the 2026 and 2027 start dates. 

Attended by less than 20% of MPs in the chamber, 48 voted to maintain the implementation dates, 22 were against.