Customs procedure 42 - new rules in France

Evguenia Dereviankine, Managing partner and lawyer at PARADIGMES, explains the recent tightening of the VAT rules for French customs regime 42 — essential viewing for customs and trade-compliance professionals handling import-and-onward-EU-delivery flows through France.

Topics covered

• How customs regime 42 works: VAT-free import into France followed by an exempt intra-Community delivery to the final EU member state
• The withdrawal of temporary tax representation for one-off transit operations, and why it was removed
• New VAT registration and reporting obligations for non-French importers
• The distinction between a permanent fiscal representative and a permanent fiscal agent, and when each applies
• Different rules depending on whether the non-French importer is established inside or outside the EU, and whether a mutual assistance agreement for VAT recovery exists with France
• The alternative of customs procedure 40 combined with the French VAT "auto-liquidation" (reverse-charge) mechanism, and why it may now be more practical than regime 42

For a broader overview of the topic, please watch the full recording. The slides are available in the Resources section.

Please note that this summary was generated using AI, based on the recording and available slides.