How to bill a Zambian company as a French company in 2024 for the provision of services as a freelancer or a company?

Do you work with professional customers based in Zambia? You don't know how to manage your international invoices? Discover the best practices for invoicing a Swiss company from France in 2024.

VAT regime for the supply of services

In principle, conventional services provided by a service provider are taxable:

• Instead of the customer subject to VAT (for example, a company);
• Instead of the individual in case of a non-taxable customer (for example, an individual).

In this article, we focus on billing Zambian business customers.

What is a traditional service?

Traditional benefits are those that do not fall under an exemption in terms of the place of taxation of the transaction. For example, between professionals, an intellectual service is in principle subject to the common law regime.

The following are subject to derogatory rules:

1. Short-term rentals of means of transport;
2. Services related to a building (e.g. rental or architectural services);
3. Passenger transport;
4. Services for cultural and sporting activities, etc.;
5. Sales to be consumed on site;
6. Travel agency services;
7. Transport or logistics services provided outside the European Union.

In principle, these services are taxable at the place where the service is provided or, for travel agencies, at the place where the travel agency is established. Other services between professionals are in principle taxable at the client's place of establishment.

How to bill the Zambian business customer?

To invoice a Zambian professional customer, it is necessary to issue an invoice without French VAT. Indeed, the transaction is not subject to European VAT. It is recommended to indicate the following: “Outside the scope of application of European VAT — Article 44 of Directive 2006/112/EC”.

Mandatory information on the invoice

Commercial regulations (L444-9 of the Commercial Code):

• Transaction date
• Name and address of the supplier: invoice header with the company name, address of the registered office, amount of the share capital, legal form, location and registration number in the commercial register.
• Customer name and address
• Nature of goods/services provided
• Quantity
• Unit price excluding VAT, if applicable
• Discount, if applicable
• Date of supply
• Payment terms
• Application of late payment interest in the event of late payment: “Any delay in payment results in the possibility of a fixed compensation for representation expenses in the amount of 40 euros.”
• Discount conditions in case of advance payment
• Billing address if different from company address
• Customer order form, if provided.

Tax regulations (242 nonies A of Annex II of the CGI):

• Full name and address of the supplier and its customer
• Supplier's VAT number (not mandatory if the invoice amount is less than €150)
• Customer's VAT number if subject to taxation (highly recommended)
• Invoice date
• Sequential invoice number (the number must be incremented on each invoice and continuous)
• Date of the service if different from the date of the invoice
• Total price excluding VAT
• Recommended statement: “Outside the scope of European VAT — Article 44 of Directive 2006/112/EC”

Do you want to ensure that your business is VAT compliant? Discover our guide to discover VAT risks.

You can also find our guide dedicated to lawyers, accountants, notaries and other advice providers.