PPF Overview

The French government has decided to initiate an important shift for the administration and life of French companies: the move to e-invoicing. This transformation will take place via the PPF (French Public Invoicing Portal), a platform that will allow all users to send and receive electronic invoices for free. It is a system deployed by the AIFE (State Financial IT Agency) and implemented by the tax administration as part of the future obligations associated with the e-invoicing reform.

The e-invoicing reform

Article 26 of the 2022 amending Finance Act made e-invoicing mandatory, which will change the processes of many companies, especially those still using paper invoices. Indeed, all VAT-liable companies in France will have to issue, transmit, and receive invoices in electronic format. From 2024, this practice will become mandatory in France for all invoices issued between companies.

What is the PPF?

As part of the reform, the PPF is a free public platform that allows companies, administrations, and public organizations to issue and receive invoices in electronic format. The PPF makes it possible to generate invoices compliant with European standards and to exchange these invoices via a secure network.

Here is how the French Public Invoicing Portal (PPF) concretely addresses the reform's challenges:

  1. Complete e-invoicing service: The PPF allows all companies to issue and receive electronic invoices in a practical and efficient way.
  2. Secure routing of electronic invoices: The PPF guarantees that all electronic invoices are correctly routed to their recipients, ensuring reliable and rapid transmission of financial information.
  3. Integration with French administrative services: The PPF facilitates the collection of company data by reporting it more easily to French administration services. This simplifies administrative procedures and enables more effective monitoring of economic activities.

PPF versus Chorus Pro

Since January 1, 2020, sending electronic invoices has become mandatory for all companies, including micro-businesses and SMBs, providing services to the State or in the public sector. The State Financial IT Agency (AIFE) implemented the Chorus Pro platform to facilitate this transition. On Chorus Pro, 70 million invoices are exchanged each year. Like Chorus Pro, the PPF is a free service made available by the French State to simplify and accelerate e-invoicing, but in the context of inter-company transactions. It remains uncertain whether these two platforms will merge in the future.

PPF versus PDPs (Partner Dematerialization Platforms)

Still in the context of the e-invoicing reform, the French State has defined the concept of PDPs (Partner Dematerialization Platforms). These are private platforms authorized by the French State that aim to provide e-invoicing services similar to the PPF but that may offer additional features. To comply with the reform, companies will be able to choose between the PPF and a PDP.

The PPF focuses on basic features, offering a service for issuing and receiving electronic invoices. It is a standardized solution made available by the administration. In contrast, most PDPs offer features more extensive than the PPF. They offer options such as:

  • Expense report automation: PDPs simplify and automate the expense report management process, facilitating data entry, validation, and reimbursement.
  • Team collaboration: Some PDPs allow team members to work together on the same tool, thus fostering collaboration and coordination of invoicing-related tasks.
  • Supplier invoice automation: PDPs integrate features that automate the receipt, processing, and tracking of supplier invoices, simplifying payment management and supplier relationships.
  • Budget tracking management tools: PDPs offer tools that allow you to monitor and control spend more effectively, facilitating the company's budget management.
  • Integrated payments: Some PDPs offer the ability to make payments directly from the tool, providing greater convenience and smoother integration of the invoicing process.
  • Integration with accounting software: PDPs can be integrated with the company's existing accounting software, simplifying data synchronization and ensuring more effective accounting management.

Conclusion

In conclusion, the French Public Invoicing Portal is a French State solution developed as part of the 2024 e-invoicing reform that promises to simplify and improve the invoicing process while offering better traceability and reduced costs.

Companies of all sizes are invited to equip themselves now to prepare for the upcoming reform. They will be able to choose between the French Public Invoicing Portal or a Partner Dematerialization Platform.

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