Do you have to charge VAT on an online shop in France?
The French VAT exemption for small businesses still applies in 2026: the single €25,000 threshold announced in late 2024 was not carried into the finance act. Thresholds still depend on the type of activity.
Short answer
- Under the small-business exemption you invoice without VAT and state “TVA non applicable, art. 293 B du CGI”.
- The threshold is €85,000 in turnover for the sale of goods and €37,500 for services.
- Between the standard and the upper threshold (€93,500 and €41,250) you stay exempt until the following 1 January.
- Above the upper threshold you become liable for VAT on the day you exceed it.
- Once liable, you apply the 20% standard rate, or a reduced rate depending on the product sold.
The 2026 thresholds
VAT exemption thresholds by activity
| Activity | Standard threshold | Upper threshold |
|---|---|---|
| Sale of goods and accommodation | €85,000 | €93,500 |
| Services | €37,500 | €41,250 |
| Mixed activity (goods + services) | €85,000 total, of which €37,500 in services | €93,500 total |
A real example
Example: a home-decor shop books €91,000 of goods sales in a year. It passes €85,000 but stays under €93,500, so it keeps invoicing VAT-free until 31 December and becomes liable on 1 January. Had it reached €95,000, VAT would be due on the sale that crossed the limit and on every sale after it.
Common mistakes
- Displaying prices excluding VAT to consumers: a B2C shop must display prices including VAT.
- Leaving out the “TVA non applicable, art. 293 B du CGI” wording on exempt invoices.
- Not tracking the running total during the year and discovering the overrun at year end.
- Switching to VAT without changing displayed prices, which cuts the margin by 20%.
How 4shopy helps
- The VAT regime is set at shop level: VAT-free while exempt, then VAT-inclusive with a rate applied product by product.
- Prices shown to customers are always VAT-inclusive, as consumer sales require.
- Cumulative turnover is visible in the dashboard, so you can anticipate crossing a threshold.
- Invoices are issued automatically through the 4b2b ecosystem, with either the exemption wording or itemised VAT.