Definition and main mission
The tax representative is an individual or legal entity established in France, appointed by a non-resident taxable person to fulfil on their behalf all the tax obligations arising from their taxable operations on French territory. Their legal framework is defined primarily by Article 289 A of the French General Tax Code (CGI) for VAT, and by Article 244 bis A of the CGI for capital gains on real estate by non-residents.
In practice, they are the sole point of contact with the French Tax Authority (DGFiP) on behalf of their principal. All administrative correspondence, tax assessments, and tax audits pass through them. They centralise the filing flows and ensure that deadlines are met, whether for monthly or quarterly VAT returns, refund claims for tax credits, or corrective returns.
Joint liability: the cornerstone of the system
What fundamentally distinguishes the tax representative from a simple accounting agent is their joint and several liability. By accepting the mission, they personally commit to answering for their principal's tax debts if the principal fails to meet their obligations. The tax authorities can turn directly to the representative to recover VAT due, penalties, and late payment interest.
This joint liability explains two major constraints:
- The tax representative must be pre-accredited by the DGFiP — which verifies their solvency and ability to assume this commitment.
- They generally require their principal to provide a bank guarantee or funds deposit to cover the risks associated with the amounts at stake.
- They may refuse or terminate the mandate if they consider the financial risk too high.
This joint liability applies to VAT, related taxes, and in the real estate context, levies on capital gains. It does not automatically cover the entirety of the principal's tax situation in France (corporate income tax, property tax, etc.).
Acts performed by the tax representative
Within the scope of their mandate, the tax representative performs a series of specific acts whose scope is defined contractually and governed by law:
- VAT returns: filing CA3 forms at the required frequencies (monthly or quarterly depending on the regime).
- VAT payment: remitting amounts due to the DGFiP at each deadline.
- Refund applications: preparing and submitting VAT credit files when deductible VAT exceeds collected VAT.
- Administrative correspondence: receiving and processing communications from the authorities, responding to requests for additional documents.
- VAT registration: at the start of the mission, taking steps to obtain the French intra-community VAT number for their principal from the competent French Tax Office (SIE).
- Document retention: archiving accounting records and VAT supporting documents for the statutory period (6 years in France).
What falls outside their mission
It is important not to confuse the tax representative with other professionals. Several areas fall outside the scope of their responsibilities:
- Corporate income tax (IS): unless expressly provided for in the contract, the tax representative does not manage the direct taxation of the foreign company. A specific mission or a separate tax adviser is required.
- Customs declarations: import/export formalities fall under a customs representative (licensed freight forwarder), not the VAT tax representative.
- Employment law and social charges: if the foreign company hires staff in France, these obligations must be managed through a dedicated structure or employer of record.
- Legal management: the tax representative is neither a lawyer nor a legal representative under company law.
To identify a professional whose mission scope precisely matches your situation, consult the list of tax representatives accredited by the DGFiP. Each professional indicates their specialities and types of clients.