VAT regimes — standard actual vs simplified

CA3 or CA12:
which regime for your business?

The choice between the CA3 (standard actual regime, monthly or quarterly VAT return, Article 287 of the French Tax Code) and the CA12 (simplified regime, annual VAT return with instalments, Article 302 septies A of the French Tax Code) depends on your turnover and on the amount of VAT due each year. 2026-2028 thresholds set by the Order of 27 January 2026 (JORF No. 0023): turnover of EUR 945,000 or less (sales, provision of accommodation) or EUR 286,000 or less (other services), plus annual VAT of EUR 15,000 or less, to remain under the simplified regime.

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— In brief
CA3 (standard actual)
Monthly (or quarterly if VAT < EUR 4,000/year), Article 287 of the French Tax Code
CA12 (simplified)
Annual return + 2 instalments (July/December), Article 302 septies A of the French Tax Code
RSI thresholds 2026
Turnover ≤ EUR 945,000 (sales/accommodation) / EUR 286,000 (services) + VAT ≤ EUR 15,000
Forms
3310-CA3 (monthly/quarterly) / 3517-S-CA12 (annual) / 3514 (instalments)
Threshold source
Order of 27 January 2026 (JORF No. 0023, JORFTEXT000053407616)
— 01

The right choice depends on both turnover and VAT volatility

The simplified regime (CA12) is attractive for its apparent simplicity: one annual VAT return and two instalments computed on the previous year's VAT. That simplicity has a cost: the instalments do not track the actual cash position of the current year. A growing business pays instalments that are too low (followed by a high balance on the CA12); a declining business pays instalments that are too high (with an overpayment to recover).

The standard actual regime (CA3) imposes a more demanding rhythm: a monthly VAT return (or quarterly if annual VAT is below EUR 4,000), with an exact real-time computation. It is heavier administratively, but cash flow follows the activity. For businesses with a recurring VAT credit (high input VAT, exports), the monthly CA3 speeds up refunds.

Our view: the CA12 suits very small, stable businesses; the monthly CA3 suits any structured business with an in-house accounting function or a regular accountant. The 2026 RSI threshold (EUR 945,000 for sales/accommodation, EUR 286,000 for other services) is broad, but the election for the standard actual regime is freely available and revocable (Article 302 septies A bis of the French Tax Code).

— 03

Two practical trade-off cases

E-commerce shop at EUR 280k: anticipated switch to the CA3

An online retailer with annual turnover of EUR 280,000, under the RSI for 3 years. Sustained growth: EUR 320,000 forecast for N+1, exceeding the services threshold (EUR 286,000). Strategy: elect for the mini-réel from 1 January N+1 to anticipate the move to the monthly CA3, avoid an abrupt catch-up during the year and accelerate the refund of input VAT on inventory purchases. Cash gain: around EUR 18k over the year (input VAT offset month by month instead of being spread).

Consulting firm at EUR 220k: managing the mandatory exit

A firm of 3 consultants, stable annual turnover of EUR 220,000, annual VAT of around EUR 28,000. Above the RSI VAT threshold (EUR 15,000), so the switch to the standard actual regime is automatic and mandatory. Strategy: opt for a quarterly CA3 (VAT > EUR 4,000/year, but the quarterly option remains possible below certain thresholds, to be reviewed case by case) rather than a monthly one, to limit the administrative burden. Time saved: around 30 hours of accounting per year.

— 02

Point-by-point comparison

Eligibility thresholds

RSI / CA12: turnover of EUR 945,000 or less (sales, provision of accommodation) / EUR 286,000 or less (other services), plus annual VAT of EUR 15,000 or less. Standard actual / CA3: above the RSI thresholds, or by election. Source: Order of 27 January 2026 (2026-2028 period).

Frequency and timetable

CA3: monthly (filing deadline between the 15th and the 24th of the following month, depending on the local tax office); quarterly if annual VAT is below EUR 4,000. CA12: annual (due on the 2nd business day following 1 May of year N+1, 1 May being a public holiday), plus 2 instalments on 15 July (55%) and 15 December (40%).

Cash flow and right to deduct

CA3: input VAT is offset month by month; a VAT credit can be claimed for refund every month (EUR 760 or more monthly, or EUR 150 annually). CA12: input VAT is spread over the year; refunds are only available at year end on the CA12. For a business with a recurring VAT credit, the CA3 is clearly more favourable in cash terms.

Automatic exit from the RSI

If annual VAT exceeds EUR 15,000, or if turnover exceeds the increased thresholds set by the order (EUR 1,040,000 for sales/accommodation; EUR 323,000 for other services), the taxpayer switches to the standard actual regime (CA3) from the year (or financial year) following the one in which the threshold was exceeded. Worth monitoring at year end to anticipate the transition.

Mini-réel: electing for the CA3 below the RSI threshold

A business eligible for the RSI can elect for the standard actual regime and file monthly CA3 returns (Article 302 septies A bis of the French Tax Code). The election is valid for 2 years and renews tacitly. Useful where there is a recurring VAT credit, or to align VAT reporting with other accounting obligations. Exit is unrestricted at the end of the election period.

Common penalties

Identical for the CA3 and the CA12 (Articles 1727, 1728 and 1729 of the French Tax Code): late-payment interest of 0.20% per month, a 10% surcharge for failure to file, rising to 40% after formal notice and 80% in the event of a concealed activity or fraudulent conduct. Spontaneous regularisation before any audit limits the penalty to late-payment interest alone.

— Interactive table

Compare the VAT regimes in one click

Filter by regime: 2026-2028 thresholds (Order of 27 January 2026), forms, filing frequency, penalties. Identical to the simulator on the /declaration-tva/ hub.

Sources: Articles 287 (CA3), 302 septies A (RSI/CA12), 293 B (base exemption) and 1727-1729 (penalties) of the French Tax Code, plus the Order of 27 January 2026 (JORF).

— Frequently asked questions

CA3 or CA12: which one must I file?

The choice is made by elimination, based on two criteria. (1) Type of activity and turnover: if your turnover remains below EUR 945,000 (sales, provision of accommodation) or EUR 286,000 (other services), you are eligible for the simplified regime and file the annual CA12. Above those thresholds, the monthly CA3 (or quarterly if VAT is below EUR 4,000/year) applies. (2) Annual VAT ceiling: even below the turnover thresholds, once your annual VAT exceeds EUR 15,000, you automatically switch to the CA3. In practice: the CA12 for very small, stable businesses with no recurring VAT credit; the CA3 for any organised structure, all the more so where a regular VAT credit arises (the mini-réel election allows you to stay on the CA3 below the RSI threshold, under Article 302 septies A bis of the French Tax Code).

How do you move from the RSI to the standard actual regime?

Two routes. (1) An automatic switch where the 2026 thresholds are exceeded: turnover above EUR 1,040,000 (sales/accommodation) or EUR 323,000 (other services), OR annual VAT above EUR 15,000, the exit taking effect from the year (or financial year) following the one in which the threshold was exceeded. (2) The mini-réel election (Article 302 septies A bis of the French Tax Code): a voluntary election for the standard actual regime, valid for 2 years, to be made by letter to the local tax office before 1 February of the year concerned.

Are the 2026 thresholds annual or multi-year?

The Order of 27 January 2026 (JORF No. 0023) sets the RSI thresholds for the 2026-2028 period (3 years). Since the creation of the Code des impositions sur les biens et services (CIBS), these thresholds are revalued in line with inflation under Article L.162-4 of the CIBS, rounded to the nearest thousand euros. Note: the abolition of the RSI has been announced for 1 January 2027 as part of the simplification of VAT regimes, subject to the legislative timetable.

What is the exact timetable for the RSI instalments?

Two half-yearly instalments (Article 1693 bis of the French Tax Code): 15 July (55% of the reference VAT, being the VAT due for the previous year) and 15 December (40%). The balance is settled on the CA12, filed no later than the 2nd business day following 1 May of year N+1 (1 May being a public holiday). If the reference VAT is below EUR 1,000, no instalments are due.

Can you elect for the monthly CA3 even below the RSI threshold?

Yes. This is the mini-réel election (Article 302 septies A bis of the French Tax Code). It is useful for businesses with a recurring VAT credit (exports, large purchases), to align VAT with other obligations (DEB, DES), or to obtain a more accurate cash position. Minimum commitment of 2 years, with an unrestricted exit thereafter.

How does this differ from the base exemption?

The base exemption (Article 293 B of the French Tax Code) is a separate regime, below the RSI thresholds: year N-1 of EUR 85,000 or less (total turnover) / EUR 37,500 or less (services), and current year of EUR 93,500 or less / EUR 41,250 or less. Under the exemption, no VAT is charged and there is no right to deduct. Above those thresholds, the business moves to the RSI or the standard actual regime depending on turnover. The exemption requires neither a CA3 nor a CA12.

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