Doing business in France: key points to keep in mind

For the self-employed

If you cross the border into France as a self-employed person, you have few obligations. All you need to do is apply for an A1 certificate and carry it with you at all times. You can apply for an A1 certificate online via the social security website. It is also advisable to carry proof of your self-employed status, such as an extract from the KBO/BCE (Belgian Crossroads Bank for Enterprises).

For employees

A1 Certificate

As an employee, you must always carry an A1 certificate if you are posted abroad or if you work for one or more employers in different countries. This document can be requested online by the employer via the social security website.

SIPSI declaration

A SIPSI declaration must be made when an employee is posted to France, whether for a short or long period. It is important to appoint a social representative who is familiar with French legislation and can liaise with the labour inspectorate. At Vandelanotte, we can act as your social representative.

Working hours

While working in France, French labour laws apply. For example, the standard working week in France is 35 hours instead of the 38 hours that is common in Belgium. Overtime is allowed, but must be compensated either financially or with time off.

Permanent establishment

If a Belgian company has a permanent establishment in France, the profits attributable to this establishment may be taxed in France. Similarly, if a person in France regularly concludes contracts on behalf of the Belgian company or plays a leading role in the conclusion of such contracts (which are routinely executed by the company without a material change), this may lead to the creation of a French permanent establishment.

Additional considerations for the construction sector

• Carte BTP: Employees in the construction sector must have a BTP card. This card must be applied for once and is valid for five years. More information can be found in our previous articles:

  • New rules on the validity of the 'carte BTP'

  • Sending employees to France: Simplifying the declaration process

• Length of the construction period:

  Construction work lasting more than six months automatically constitutes a permanent establishment. This means that an arm's length profit must be attributed to the activities in France, which requires the maintenance of French accounting records and the filing of a corporate tax return. The new double taxation agreement extends this period to nine months.

• VAT number:

  If you frequently work with subcontractors in France, remember to apply for a VAT number.

• Services to individuals:

  To provide services to private individuals in France, you no longer need to apply for a VAT number thanks to the ONESTOPSHOP.

If you have any questions or concerns, please do not hesitate to contact us! Our professional team is ready to assist you with all aspects of doing business in France.