Publishers, rights collection and distribution companies or producers.
Gives rise to withholding of VAT by the payer
• E-reporting by the paying institution (no invoice, but a statement of rights in favor of the author)
Perception from royalties
Other than publishers, collecting societies or producers.
No VAT withheld by the payer
• E-invoicing by author (invoice issued by author) if B/G customer
• E-reporting if C customer (e.g. non-taxable association).
Other transactions not subject to withholding
-
• E-invoicing by author (invoice issued by author) if B/G customer
• E-reporting by author if customer C.
Statements of entitlement do not fall within the scope of e-invoicing.
Transactions giving rise to withholding of VAT by publishers, rights collection and distribution companies and producers fall within these businesses' scope of e-reporting. There is therefore no need to create a dedicated invoicing framework.
For royalties that are not paid by these bodies, authors are liable for VAT unless they benefit the basic exemption regime and are subject, like any taxable entity, to the e-invocing/e-reporting obligations, depending on whether or not their client is a taxable person.
For transactions other than copyright, authors remain subject to the ordinary law regime and may fall within the scope of e-invoicing or e-reporting.
The case of the author's notes is presented to clarify the application of electronic invoicing and e-reporting for this use case. There are no additional obligations to the provision of Article 285 bis for the CGI.
Background
French Use Case n°35: Author's notes
APPLICABLE SYSTEM (E-invoice/E-reporting)
Perception from royalties
Gives rise to withholding of VAT by the payer
• E-reporting by the paying institution (no invoice, but a statement of rights in favor of the author)
Perception from royalties
No VAT withheld by the payer
• E-invoicing by author (invoice issued by author) if B/G customer
• E-reporting if C customer (e.g. non-taxable association).
• E-invoicing by author (invoice issued by author) if B/G customer
• E-reporting by author if customer C.
The case of the author's notes is presented to clarify the application of electronic invoicing and e-reporting for this use case. There are no additional obligations to the provision of Article 285 bis for the CGI.
NOTE: The text/pictures of this use case no. 35 were taken from the French government site! The text was extracted from V2.3 - deepl English DOCX and any pictures were taken from V2.2 - original English PDF)