{"id":36849,"date":"2026-02-15T14:12:38","date_gmt":"2026-02-15T13:12:38","guid":{"rendered":"https:\/\/paradigmes-avocats.com\/?p=36849"},"modified":"2026-02-16T17:23:22","modified_gmt":"2026-02-16T16:23:22","slug":"application-of-customs-regime-42-in-france","status":"publish","type":"post","link":"https:\/\/paradigmes-avocats.com\/en\/2026\/02\/15\/application-of-customs-regime-42-in-france\/","title":{"rendered":"Application of customs regime 42 in France"},"content":{"rendered":"

Customs regime 42 is a mechanism allowing the optimization of import VAT where the imported goods are not intended to be released for consumption in the Member State of importation, but in another Member State. Recent regulatory changes have modified the way it is used in France, particularly for companies not established in the EU. Furthermore, discussions are underway regarding its possible integration into the ‘international representative’ mechanism.<\/p>\n

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  1. I. What is Customs regime 42?<\/strong><\/li>\n<\/ol>\n

     <\/p>\n

    Customs regime 42 is a mechanism allowing goods to be imported and released for free circulation with an exemption from import VAT, provided that the goods are intended to be subject to an intra-Community supply immediately following their importation. In France, the tax aspects of this mechanism are covered in Article 291(III)(4) of the French General Tax Code<\/a> (\u201cCode g\u00e9n\u00e9ral des imp\u00f4ts\u201d or \u201cCGI\u201d).<\/p>\n

    Under Customs regime 42, VAT is not payable at the time of importation, nor in the Member State of import. Instead, VAT is paid by the final consignee of the goods in the Member State of destination, in accordance with the rules applicable in that State. In this respect, Customs regime 42 represents an alternative to the customs transit procedure.<\/p>\n

    Although easier to operate than a transit procedure, Customs regime 42 is also subject to strict conditions. To apply, the intra-Community supply must take place immediately after importation. The imported goods must therefore be sent to the Member State of destination without any delay other than those strictly necessary for transshipment operations (loading, unloading, movement, packaging or repackaging).<\/p>\n

    The conditions for applying Customs regime 42 are specified in Article 96 P of Annex II to the French General Tax Code<\/a>.<\/p>\n

    On the customs declaration, Customs regime 42 must be indicated in the \u201cadditional fiscal reference\u201d data field, by indicating:
    \n– the VAT number of the importer carrying out the exempt intra-Community supply, or that of its fiscal representative\/agent (format: FR7 + VAT number of the importer\/representative\/agent), followed by
    \n– the VAT number of the recipient carrying out the intra-Community acquisition (format: FR2 + VAT number of the recipient in the Member State of destination)    [1]<\/a>.<\/p>\n

    [1] The data may vary if the office where the goods are presented is not located in France. The special code G6030 must also be entered, certifying that the transaction complies with the requirements of Article 291(III)(4) of the French General Tax Code<\/a>.<\/p>\n

    The invoices supporting the transaction must include the same VAT numbers, as well as the wording: \u201cVAT exemption \u2013 Article 262 ter I of the French General Tax Code.\u201d They must also indicate the name and VAT number of the fiscal representative, if any, as well as the mandatory information referred to in Article 242 nonies A of Appendix II to the CGI<\/a>.<\/p>\n

    Widely used in the post-Brexit context, this mechanism enabled UK companies to maintain DDP (Delivered Duty Paid) Incoterms with their EU customers without having to bear the administrative burden associated with VAT registration in France, the country of entry of their goods into the EU.<\/p>\n

    According to European Commission estimates, approximately EUR 221.8 billion worth of goods benefited from Customs regime 42 within the EU between 2021 and 2023 (European Court of Auditors, 2025[1]<\/a>).<\/p>\n

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    1. II. Use of Customs regime 42 by importers not established in the EU<\/strong><\/li>\n<\/ol>\n

       <\/p>\n

      Until December 31, 2025, importers established in a third country that carried out transactions exempt from VAT pursuant to Article 291(III)(4) of the French General Tax Code could use ad-hoc tax representation (\u201crepr\u00e9sentation fiscale ponctuelle\u201d) to import goods into France under this regime. This mechanism allowed them to avoid registering for VAT in France.<\/p>\n

      The French Finance Act for 2024 put an end to this possibility, with implementation postponed until January 1, 2026 (tax ruling of May 14, 2025, BOI-RES-TVA-000207<\/a><\/sup>).<\/p>\n

      Since 1 January 2026, the situation of non-EU importers wishing to use Customs regime 42 depends on whether their country of establishment has concluded a mutual assistance agreement for the recovery of tax claims with France[1]<\/sup><\/a>.<\/p>\n

       <\/p>\n

      II.1. Importers established in a third country that has not concluded a mutual assistance agreement for the recovery of tax claims with France<\/strong><\/p>\n

       <\/p>\n

      To use Customs regime 42 when importing into France, importers established in a third country that has not concluded a mutual assistance agreement for the recovery of tax claims with France, must appoint a permanent fiscal representative in France (\u201crepr\u00e9sentant fiscal permanent \u201c)[1]<\/a><\/u>. A permanent fiscal representative is a person established in France who has been accredited by the French authorities to carry out fiscal representation activities (see BOI-TVA-DECLA-20-30-40-10 \u00a7140 et seq.<\/a> regarding accreditation requirements). The fiscal representative will register the importer for VAT purposes in France and will assume the related accounting and reporting obligations, including:<\/a><\/u><\/p>\n