Table of Contents

  1. Introduction

  2. Overview of VAT (TVA) in France

  3. VAT Obligations for Businesses in France

  4. Why Correct VAT Configuration Matters in Dolibarr

  5. Initial Setup of VAT in Dolibarr

  6. Defining VAT Rates and Types

  7. Assigning VAT to Products and Services

  8. Managing Customer and Supplier VAT Profiles

  9. Handling Intra-EU and International Transactions

  10. VAT on Invoices and PDF Templates

  11. Generating VAT Reports and Declarations

  12. Compliance with French Fiscal Requirements

  13. Managing Special VAT Regimes (Auto-entrepreneurs, Franchise en base, etc.)

  14. Using Dolibarr with Chorus Pro for Public Sector Invoices

  15. Tips for Period-End VAT Reconciliation

  16. Avoiding Common VAT Configuration Errors

  17. Integrating Dolibarr with French Accounting Tools

  18. When to Consult an Expert

  19. Conclusion: Mastering VAT in Dolibarr for French Businesses

1. Introduction

Navigating VAT (TVA) regulations in France is a key responsibility for any registered business. Using an ERP like Dolibarr can simplify the process, provided it's configured correctly. This guide explores how to set up and manage VAT in Dolibarr in full compliance with French legislation. It also covers best practices and common traps, ensuring your business stays audit-ready.

2. Overview of VAT (TVA) in France

In France, VAT (Taxe sur la Valeur Ajoutée) is a consumption tax levied on most goods and services. The standard VAT rate in 2025 remains at 20%, with reduced rates of 10%, 5.5%, and 2.1% for specific items.

All businesses exceeding the exemption thresholds must charge VAT on their sales, collect it on behalf of the state, and submit regular declarations. Dolibarr supports multi-rate VAT structures and can automate much of the tracking and reporting process.

3. VAT Obligations for Businesses in France

Businesses must:

  • Charge the correct VAT rate on invoices

  • Maintain accurate accounting records

  • Submit periodic VAT returns (monthly or quarterly)

  • File the CA3 form (or CA12 for annual filers)

  • Handle cross-border transactions appropriately

Failure to comply can result in penalties, so the importance of a robust ERP setup cannot be overstated.

4. Why Correct VAT Configuration Matters in Dolibarr

Incorrect VAT setup in Dolibarr can lead to:

  • Invalid invoices (non-compliant with French legal standards)

  • Incorrect reporting and potential audits

  • Missed VAT deductions or overpayments

  • Discrepancies during accounting exports or submissions to Chorus Pro

Fortunately, Dolibarr offers a detailed VAT system, which, when configured properly, ensures smooth operations and legal compliance.

5. Initial Setup of VAT in Dolibarr

Start by going to Home > Setup > Dictionaries > VAT Rates.

Here you can:

  • Add default VAT rates (20%, 10%, 5.5%, 2.1%, 0%)

  • Set the start date for each rate (helpful for historical data)

  • Label rates clearly, e.g., "TVA 20% – standard rate"

Then go to Setup > Modules > Accounting and ensure VAT tracking is activated. Enable the Simple or Advanced accounting module depending on your needs.

6. Defining VAT Rates and Types

Dolibarr allows you to create multiple VAT rates. Each rate can be associated with a type:

  • Standard: For most goods and services (20%)

  • Reduced: For essentials like food or books (5.5%, 2.1%)

  • Exempt: For services that are VAT-exempt (medical, education)

Assign each VAT rate a unique accounting code. This helps when generating the FEC (Fichier des Écritures Comptables) and for journal exports to accounting software.

7. Assigning VAT to Products and Services

Each product or service in Dolibarr must be linked to a VAT rate. To do this:

  1. Go to Products/Services > Create or Edit Product

  2. Scroll to the Selling Price or Purchase Price section

  3. Select the applicable VAT rate from the dropdown

This ensures that when the item is added to an invoice, the correct VAT is automatically applied.

8. Managing Customer and Supplier VAT Profiles

Customers and suppliers can be flagged as VAT-applicable or exempt. Under each third party:

  • Choose their country and VAT status

  • Add their VAT number (for EU clients)

  • Define default VAT behavior (e.g., reverse charge for EU B2B)

This is critical for international trade and ensuring correct invoice generation.

9. Handling Intra-EU and International Transactions

Dolibarr supports intra-community transactions via:

  • Reverse charge VAT mechanism

  • Intrastat and DEB data capture

For exports outside the EU, select 0% VAT. Ensure your invoice includes the proper legal disclaimers like "Exonération de TVA – article 262 I du CGI".

10. VAT on Invoices and PDF Templates

When generating PDF invoices, ensure:

  • VAT lines are itemized correctly

  • Legal mentions are present (TVA applicable or not)

  • Client VAT numbers appear on intra-EU invoices

You can add custom footer text via Setup > Company/Organization > Legal mentions to include required VAT disclaimers.

11. Generating VAT Reports and Declarations

Use Accounting > VAT Report to:

  • Review collected and deductible VAT per period

  • Export totals for CA3 declaration

  • Filter by customer, invoice, or period

Exporting your reports to CSV or PDF allows for easier sharing with your accountant or submission via accounting software.

12. Compliance with French Fiscal Requirements

Dolibarr complies with France’s anti-fraud law (Loi anti-fraude à la TVA) when the certified version is used. This ensures:

  • Invoices are non-editable after validation

  • Logs are traceable

  • FEC files are correctly structured

If you're subject to the VAT anti-fraud regulation, activate the certified invoice lock feature.

13. Managing Special VAT Regimes (Auto-entrepreneurs, Franchise en base, etc.)

If your business benefits from VAT exemption:

  • Set VAT rate to 0%

  • Add a legal note like: "TVA non applicable, article 293 B du CGI"

Dolibarr lets you automate this per client or per invoice.

14. Using Dolibarr with Chorus Pro for Public Sector Invoices

Invoices to French public entities must go through Chorus Pro. Dolibarr offers modules or connectors to automate this.

To comply:

  • Use the correct SIRET, service code, and delivery references

  • Ensure invoice format matches Chorus Pro requirements

  • Export or transmit XML-compliant versions if needed

15. Tips for Period-End VAT Reconciliation

  • Use Dolibarr’s VAT report to match with bank statements

  • Compare collected vs. paid VAT per quarter

  • Cross-check with supplier invoice input

This helps ensure accurate VAT declarations and avoids issues during tax audits.

16. Avoiding Common VAT Configuration Errors

  • Wrong rate applied: Always double-check product/service VAT assignment

  • Missing legal mentions: Customize footer text per VAT rule

  • EU reverse charge misused: Flag EU clients correctly and ensure VAT numbers are valid (use VIES)

  • Late module activation: Enable VAT settings before issuing invoices

17. Integrating Dolibarr with French Accounting Tools

You can export Dolibarr accounting journals in FEC-compliant format for use with:

  • Sage

  • EBP

  • Ciel

  • ACD

This ensures that VAT data flows correctly from ERP to accounting software, streamlining your entire financial reporting.

18. When to Consult an Expert

Despite Dolibarr’s intuitive setup, French VAT can be tricky. Contact a Dolibarr integrator or chartered accountant if:

  • You’re new to VAT

  • You work in multiple countries

  • You need to align Dolibarr with Chorus Pro or other systems

  • You’re under audit or scrutiny from the tax authorities

19. Conclusion: Mastering VAT in Dolibarr for French Businesses

Dolibarr is a powerful ally for managing VAT in France—as long as it's configured properly. From setting accurate rates to generating compliant invoices and declarations, this ERP provides all the tools needed to ensure fiscal alignment. With a thoughtful setup and regular checks, businesses of any size can use Dolibarr to simplify their VAT obligations and stay ahead of legal requirements in 2025.