A Jump in Vat in France on Some Services to Hit in July

Under a EU directive from Brussels, France is bringing its TVA (sales tax) rates up on some categories. So far certain services labeled services à la personne such as garden maintenance or home tutoring enjoyed a special lower rate of 7%. Effective in July, the standard VAT rate of 19.6% will apply to these services. The measure was supposed to hit these independent small-businesses or professionals in April, but a further quarter has been allowed because the information to be assimilated into these everyday transactions.

Other services to be hit by this increase are home surveillance and security services, house calls for internet and computer repair and maintenance, and other more vague categories of “activities around the organisation of personal services” which may include offices or people that act as clearing houses for these services such as making appointments, invoicing, etc.

More information about taxes in France.