E-Invoicing France Transition Simplified Through New Two-Year Grace Period
As e-invoicing France moves closer to full digitalisation of its invoicing ecosystem, and to support this shift, the government has introduced a two-year “soft landing” period under the 2026 Finance Bill. This measure is designed to help businesses adapt to the upcoming mandates for B2B e-invoicing and B2C e-reporting—one of the most transformative tax reforms in the country’s history.
What the Grace Period Means
From 1 September 2026 to 31 August 2028, companies will benefit from a formal tolerance phase. During this period, businesses that demonstrate genuine efforts to comply will not face financial penalties, even if they encounter errors in the early stages under e-invoicing France.
The penalty waiver covers:
• Article 1737, III – Penalties for failing to issue invoices in the mandated electronic format
• Article 1788 D, I & II – Penalties for missing, inaccurate, or late e-reporting submissions
It’s important to note that e-invoicing and e-reporting obligations still begin on 1 September 2026, but businesses will have time to adjust and stabilise their processes without the immediate risk of sanctions as part of e-invoicing France.
Why This Matters
The upcoming reform under e-invoicing France introduces new technical, operational, and data-exchange requirements across all sectors. The two-year reprieve gives organisations the breathing room they need to:
• Upgrade ERPs and integrate with Partner Dematerialization Platforms (PDPs)
• Align with evolving technical specifications from the DGFiP
• Take part in ongoing interoperability tests
• Reduce risks such as invoice rejections, delays, supply-chain disruption, and cash-flow impact
A forthcoming Council of State Decree will further clarify how “good faith” will be evaluated during this waiver period under e-invoicing France.
Key Participants in France’s Electronic Invoicing System
France’s e-invoicing framework under e-invoicing France relies on a network of regulated entities, each responsible for ensuring that invoices are produced, exchanged, and reported correctly.
| Participant | Role |
| Supplier (Seller) | Issues invoices in approved formats and submits them through a certified PDP |
| Buyer (Customer) | Receives, processes, and pays invoices via their chosen PDP |
| PDP | Validates formats, ensures compliance, converts files if needed, routes invoices, and sends reporting data to the PPF |
| PPF | Acts as the national directory, centralises invoice and reporting data, and forwards information to the tax authority |
| DGFiP | Oversees the framework and leverages data for VAT control and audits |
| OD | Assists in format conversion and e-reporting but does not route invoices |
How France’s E-Invoicing Workflow Operates
The operational model under e-invoicing France prioritises interoperability, standardisation, and secure data flows. Here’s how a typical transaction moves through the system:
- Invoice Creation
The supplier generates the invoice in Factur-X, UBL, or CII. If needed, a PDP or OD manages format conversion. - Submission via a PDP
The supplier sends the invoice to a certified PDP, which checks all technical validations. - Interoperable Exchange
If the buyer uses a different PDP, the invoice is forwarded seamlessly until it reaches the buyer’s platform. - E-Reporting
The PDP extracts relevant data and transmits it to the PPF. For transactions outside e-invoice scope—such as B2C or cross-border—data is sent directly via PDPs or ODs. - Processing by the Authorities
The PPF consolidates all invoice and reporting data and channels it to the DGFiP for VAT oversight, audit preparation, and compliance analysis—ensuring a more transparent tax environment for e-invoicing France.
