VAT Rates in France – Overview

Understanding the applicable VAT rate in France is essential to ensure accurate invoicing and compliant reporting. France applies several VAT rates depending on the type of goods or services supplied.

Below is a clear breakdown of the current French VAT rates.

Standard VAT Rate

📌 20% – Standard Rate

The standard VAT rate in France is 20%.
This rate applies to most goods and services that do not qualify for a reduced rate.

Typical examples include:

• General retail goods

• Electronics

• Professional services

• Most B2C supplies

If no specific reduced rate applies, the 20% rate should be used.

Reduced VAT Rates

France applies two main reduced VAT rates:

📉 10% – Intermediate Rate

The 10% VAT rate applies to certain goods and services, including:

• Passenger transport

• Restaurant and catering services (excluding alcohol)

• Hotel accommodation

• Certain renovation and improvement works in residential properties

• Some agricultural products

This rate commonly applies within the hospitality and transport sectors.

📉 5.5% – Reduced Rate

The 5.5% VAT rate applies to essential goods and specific services, such as:

• Most food products

• Non-alcoholic beverages

• Books (printed and digital)

• Gas and electricity subscriptions

• Equipment and services for disabled persons

• School canteen meals

• Cinema tickets and certain live cultural events

• Energy renovation works that improve residential energy efficiency

This rate generally applies to socially beneficial or essential items.

Super Reduced VAT Rate

📍 2.1% – Super Reduced Rate

The 2.1% VAT rate applies to very specific supplies, including:

• Reimbursable prescription medicines

• Certain press publications (print and digital)

• Some live performances under specific conditions

This rate applies only in limited, regulated circumstances.

0% VAT (Zero-Rated Supplies)

France applies a 0% VAT rate in specific cases, including:

• Intra-EU supplies of goods (B2B, when conditions are met)

• Exports of goods outside the EU

• Certain qualifying medical or international transport services

It is important to note:

Zero-rated supplies are not the same as VAT-exempt supplies.
Even when VAT is charged at 0%, businesses must still report these transactions in their VAT returns and maintain proper documentation to justify the zero rate.

Important Considerations

• The correct VAT rate depends on the exact nature of the goods or services supplied.

• Incorrect VAT rates can lead to underpayment, penalties, and administrative corrections.

• Some reduced rates apply only under specific conditions (e.g. type of property, customer status, or product classification).

If you are unsure which VAT rate applies to your business activities in France, please consult your Hellotax VAT expert or refer to official guidance from the French tax authorities.