The Government has agreed to defer the payment of the tax for 2020 until the end of the year.The tax will have to be declared in the annex of the French VAT return (CA3):
• For companies liable to pay VAT under the normal real regime, simultaneously with the CA3 VAT return filed in respect of March or the first quarter of the year following the one during which the tax became payable (at the same as time as the CA12 return for companies under the simplified regime);
• For companies not liable to pay VAT in France, at the latest on 25 April of the year following the one during which the tax became payable.
As of 2020, taxpayers subject to the normal VAT regime will also have to pay the tax in two instalments; the sum must be at least equal to the amount due for the previous financial year.
In accordance with the calendar defined for 2019 by the Law, the tax due for 2019 will be the subject of a single instalment payable in November 2019 on the basis of the 2018 revenue deriving from in-scope activities.
In addition, under some conditions, the Law allows companies to opt for a single tax return and payment at the group level. The option is valid for three years. For the tax due for the year 2019, this option must be exercised by 31 October 2019.
The law also provides for:
• an obligation for the taxpayers to keep, in support of their accounting, information on the amounts collected monthly in consideration for each of the taxable services provided, by distinguishing between those relating to a service provided in France and abroad and, where applicable, those excluded from the base, as well as the monthly quantitative elements used to calculate the percentages representing the share of taxable services connected with France
• the implementation of a specific procedure allowing the French tax authorities to ask entities liable to the tax for justifications on all the elements used as a basis for calculating this tax, apart from any tax audit.
From 1 July 2019 there are additional reporting obligations for online platforms to provide information to the FTA on an annual basis. These reporting obligations apply to Resident individuals and companies, and may potentially apply to non-resident companies with or without a permanent establishment in France.