Tuesday, November 24
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The Rules for Taxes As Per the Companies

These basic rules apply to all companies, regardless of their status. Micro-enterprises, however exempt from VAT, are also affected by this intra-community rule as soon as trade exceeds 10,000 euros.

  • Since 1 January 2020, any purchase or sale of performance, the entrepreneur is obliged to possess a number VAT. As for national VAT, the tax paid on receipt of the goods is deductible.

How to get your intra-community VAT number?

When we talk about intra-community VAT, one word inevitably comes up: that of intra-community VAT number . The key to carrying out transactions with other countries of the European Union, this number is individual and associated with each company.

How to get your intra-community VAT number?

The company must apply to obtain his number VAT (the Tax Identification Number) from the Directorate General of Taxes. Each company is assigned a number made up of the FR code, 2 digits and its Siren number. There you can use independent contractor tax calculator.

Why check the validity of an intra-community VAT number?

During an acquisition, it is important to check the authenticity of the intra – community VAT number of your business partner. Indeed, if the number is incorrect, you will be obliged to pay VAT on the transaction concerned.

How to declare intra-community VAT?

In addition to the invoice, companies must, on a monthly basis, send their country’s customs a declaration of exchange of goods or exchange of services depending on the nature of their activity.

The Declaration of Exchange of Goods (DEB)

The Goods Exchange Declaration concerns companies that sell or buy goods from another country of the European Union. This document replaces, in a way, customs declarations and recapitulates all transactions (purchase and sale) carried out with foreign partners.

Depending on the level of business exchange, there are 2 types of DEB:

The Simplified Goods Exchange Declaration: is reserved for companies whose level of exchange does not exceed 460,000 euros in the case of a shipment.

  • On the other hand, for companies which bring into the country (intra-community acquisition) goods for a value of less than 460,000 euros, no declaration is required.
  • The detailed declaration of exchange of goods: Beyond this threshold of 460,000 euros (whether for introduction or for shipment), companies are required to complete a detailed DEB.
  • The DEB must be sent to customs no later than the 10th working day following the reference month of the home center

The Declaration of Exchange of Services (DES)

The Exchange of Services Declaration is, as its name suggests, the equivalent of the DEB for companies offering or receiving services from other European companies.

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