The obligation to issue electronic invoices was introduced as part of a European directive aimed at facilitating and simplifying commercial exchanges within the European Union. The companies and structures concerned need to prepare now to be in a position to meet this new obligation, which will take effect on July 1, 2024.
Gradual implementation
The passage of the amended Finance Act for 2022 has made it possible to specify the timetable for the widespread introduction of electronic invoicing, as well as its implementation procedures.
The roll-out of electronic invoicing will be gradual, taking into account the size of companies to enable them to comply with their new obligation in the best possible conditions.
Electronic invoicing will apply :
- From July 1, 2024: all taxable persons will be able to receive, and large companies will be able to issue;
- From January 1, 2025: for mid-sized companies;
- From January 1, 2026: for small and medium-sized businesses, and micro-entrepreneurs.
To meet this obligation, companies will be able to choose to use a dematerialization platform that is a "partner" of the administration, or the public invoicing portal based on the Chorus Pro platform, which since 2017 has been responsible for the dematerialized exchange of invoices for transactions with the public sector. This portal has undergone major changes since last summer. It should be possible to test it before the system comes into force on January 3, 2024.
Who is affected by the obligation to issue electronic invoices?
A company may be obliged toissue electronic invoices if it finds itself in one of three situations:
- The company is subject to VAT
Companies subject to VAT must be able to receive invoices electronically from July 1, 2024. This depends on the size of the company, as mentioned above.
- The company is subject to VAT but benefits from a basic exemption.
A company that benefits from a basic VAT exemption is not liable for this tax, as its sales are below the threshold at which VAT must be invoiced. In this situation, however, it remains liable for VAT, and is therefore subject to electronic invoicing for both incoming and outgoing invoices.
- The company carries out operations for which invoicing is waived
In this case, the company is not concerned by electronic invoicing for these operations. This exemption only applies to VAT-exempt transactions. This means that the company will have to issue electronic invoices for other transactions that are not exempt from VAT.
Companies therefore have every interest in keeping their accounting under control and anticipating to comply with the obligation to issue electronic invoices from 2024.