On 1 January 2027 France abolishes its simplified VAT regime. Companies that file a single annual return today will file periodic returns instead: quarterly up to €1 million of turnover, monthly above that. The tax administration makes the switch itself, so no application is needed.
The current regime
Under the simplified regime (“régime simplifié d’imposition”), a company files one annual return, form 3517-S, known as the CA12, and pays two instalments, in July and December. It is open to businesses below certain turnover thresholds, as long as the VAT due for the previous year does not exceed €15,000.
Quarterly or monthly
The legal basis is article 38 of the 2025 Finance Act (loi n° 2025-127 du 14 février 2025). The companies concerned move to the standard regime and file form 3310-CA3. The filing cycle depends on turnover including taxable acquisitions:
- quarterly as long as it does not exceed €1,000,000 in the previous calendar year and €1,100,000 in the current year
- monthly as soon as either threshold is exceeded
A company that exceeds the threshold during the year files monthly from that month on. Its first monthly return then covers every transaction since the start of the calendar quarter.
A company entitled to file quarterly may choose monthly returns instead, for instance if it is regularly in a VAT credit position. The request goes to the competent tax office through the secure messaging service. It takes effect on the first day of the following calendar quarter and applies for at least four quarters. The thresholds are indexed to inflation and revised every three years.
How the switch works
The French tax administration moves companies from the simplified regime to the standard regime itself. It uses the turnover from the last annual return filed, and where there is none, quarterly filing applies by default. The first CA3 covers January or the first quarter of 2027. Where the financial year does not follow the calendar year, it covers the first month or quarter after the year end.
| Year end | 2027 instalments | Last annual return |
|---|---|---|
| 31 December 2026 | none | CA12 by 4 May 2027 |
| January to June 2027 | none | CA12E within three months of the year end |
| July to November 2027 | the July instalment only, if VAT for the previous financial year exceeds €1,000 | CA12E within three months of the year end |
The standard regime changes too
This concerns companies that already file monthly. Until now, quarterly filing was only open to those owing less than €4,000 of VAT a year. From 2027 turnover is the test here as well: if it did not exceed €1,000,000 in the previous year, a simple request to the tax office is enough to switch to quarterly returns.
Who is not affected
The simplified regime for farmers remains unchanged. Businesses under the VAT exemption for small businesses (“franchise en base”) file no VAT returns and are not directly affected. The reform also concerns VAT only, so the simplified regime for taxing profits stays in place.
E-reporting from September 2027
From 1 September 2027 small and medium-sized businesses must also send their transaction and payment data to the tax administration. The frequency follows the VAT regime. Under quarterly returns transaction data goes out once a month, under monthly returns every ten days. Payment data is sent monthly in both cases. The approved platform (“plateforme agréée”) therefore needs to know which regime applies from 2027. The e-invoicing question set
What to settle before January
- Whether the accounts can deliver the French figures monthly or quarterly
- Who prepares the returns and files them on time
- What earlier payments mean for cash flow
- Which regime the platform must apply from 2027
We prepare the VAT returns from the running accounts and file them on time. For companies that used to file once a year, we adjust the process before the first deadline. Accounting and VAT in France
Sources: article 38 of loi n° 2025-127 du 14 février 2025 (2025 Finance Act); DGFiP, “Le régime simplifié d’imposition à la TVA est supprimé à compter du 1er janvier 2027”, 22 September 2026. Position as at 19 October 2026.