20.0%.
The French standard VAT rate is 20.0%, which is above the OECD average. The average VAT/GST¹ standard rate in the OECD was 19.2% as of 31 December 2020. The previous standard VAT rate in France was 19.6% in 2013.
Contents
What is the rate of VAT in France?
20%
The standard VAT rate in France is 20%. Principal reduced rates are 5.5% and 10%. Other specific reduced rated exist such as 2.1% for goods from chemists or some newspapers or 13% for sales in Corsica Island.
What is the VAT in France 2021?
20%
| Country | Standard VAT Rates |
|---|---|
| VAT rate in Estonia | The standard VAT rate is 20%. |
| VAT rate in Finland | The standard VAT rate is 24% |
| VAT rate in France | The standard VAT rate is 20%. |
| VAT rate in Germany | The standard VAT rate is 19% |
What is the VAT rate 2021?
The reduced rate of 5% VAT will continue to apply until 30 September 2021, before increasing to a transitional rate of 12.5% and finally returning to 20% from 1 April 2022.
Which EU country has lowest VAT?
Luxembourg
Luxembourg levies the lowest standard VAT rate at 17 percent, followed by Malta (18 percent), and Cyprus, Germany, and Romania (all at 19 percent). The EU’s average standard VAT rate is 21 percent, six percentage-points higher than the minimum standard VAT rate required by EU regulation.
What is French VAT?
“Value Added Tax in local language is “Taxe sur la valeur adjoute“. The French VAT rates are as follows: Standard rate: 20% Reduced rates: 10%, 5.5% and 2.1%
Do you charge VAT to France?
If you provide services to customers outside the EU, you usually do not charge VAT. However, if the service is used in another EU country, that country can decide to charge the VAT. You may still deduct the VAT that you paid on related expenses, such as for goods or services purchased specifically to make those sales.
Is there a 10% VAT rate?
The standard rate of VAT in the UK is currently 20% and this is the rate charged on most purchases.As with zero rate items, no VAT is charged on these goods and services.
What is the current EU VAT rate?
VAT rates vary per EU country. The EU has set a standard minimum VAT rate of 15% for its 27 member countries. The actual VAT rates of the EU countries range between 17% and 27%. Switzerland is not part of the EU and has a standard VAT rate of 7.7%, which is far lower than neighboring countries.
How much is the European VAT?
EU law only requires that the standard VAT rate must be at least 15% and the reduced rate at least 5% (only for supplies of goods and services referred to in an exhaustive list). Actual rates applied vary between EU countries and between certain types of products.
What is the latest VAT rate?
The VAT for all sales of food and drink consumed on the premises is reduced from 20% to 5% until January 12th 2021 – excluding alcoholic drinks which stay at 20% VAT.
Is there an 8% VAT in UK?
In July 1974, Labour Chancellor Denis Healey reduced the standard rate of VAT from 10% to 8% but introduced a new higher rate of 12.5% for petrol and some luxury goods.
Is VAT increasing in 2021?
“From 1 October 2021, the new VAT rate of 12.5% applies to all suppliers of restaurant services, hot takeaway food, holiday accommodation and admission to many attractions. It is important that these businesses are aware of and prepared for the changes.”
Why is European VAT so high?
VATs were sold in Europe as a way to tax consumption, which in principle does less economic harm than taxing income, savings or investment.The top individual income tax rate remains very high in Europe despite the VAT, with an average on the continent of about 46%.
What is Slovenia VAT rate?
In compliance with Slovene VAT legislation VAT on supplies of goods or services is charged and paid at a general rate of 22%, except for supplies of goods and services for which a reduced rate of 9.5% is applied.
Which country has the highest VAT tax?
Bhutan has the highest VAT rate in the world. The World champion in VAT is without competition the mini-country of Bhutan, with its ridiculously high VAT rate of 50%. The country is situated just north of Bangladesh, which in turn only has 15% VAT.
What is the VAT rate in Paris?
20%
| France VAT rates | |
|---|---|
| Rate | Type |
| 20% | Standard |
| 10% | Reduced |
| 5.5% | Reduced |
Is France VAT exempt?
VAT THRESHOLDS – per country
| Member State | Exemption for small enterprises | |
|---|---|---|
| Spain | None | None |
| Finland | EUR 10 000 | |
| France | EUR 82 800 or EUR 42 900 or EUR 33 200 | |
| Croatia | HRK 300 000 | EUR 40 324 |
What is the sales tax rate in France?
The current France VAT (Value Added Tax) is 20.00%. The VAT is a sales tax that applies to the purchase of most goods and services, and must be collected and submitted by the merchant to the France governmental revenue department.
20.00%
| VAT/Sales Tax | Reduced VAT Rate | World VAT Rank |
|---|---|---|
| 20% | None | 10th of 34 |
Do you charge VAT on EU sales?
At the moment, for EU transactions, VAT is generally not charged on the supply of goods between businesses from another European country by the supplier. Instead, a business recipient is generally required to charge itself VAT, known as acquisition VAT, which is typically an accounting transaction on the VAT return.
What VAT rate should I charge?
23%
23% is the standard rate of VAT. All goods and services that do not fall into the reduced rate categories are charged at this rate.
