The diagnostic is a snapshot of your compliance in France. We take your transactions as actually carried out (sales, purchases, deliveries, services, imports) and check how they are treated: place of supply, rate, exemption, reverse charge, deduction, filing. The result is a prioritised list of gaps with correction paths.

When to ask for one

After a period of activity in France run without regular monitoring.
Before a change: new sales channel, new warehouse, new billing tool, a new provider taking over your file.
After a letter from the authorities, to measure the extent of the issue.
Before a VAT credit refund request or a restructuring.
When your teams do not share the same reading of the rules.

What we review

Area	Questions asked
Registration and mandate	Are you correctly registered? Does the mandate reflect your transactions? See VAT registration.
Returns	Are VAT returns complete and consistent with the accounts?
Transactions	Place of supply, tax point, exemptions, reverse charge: see VAT treatment analysis.
Invoices	Mentions, rates, evidence, supplier invoices: see invoice compliance.
Processes	Who does what, which tools, which evidence is kept?

To gauge the order of magnitude of risks, our article on penalties, late-payment interest and surcharges recalls the most common sanctions.

How an engagement runs

1ScopingWe define with you the periods, flows and taxes to examine.

2CollectionYou send returns, invoices, contracts and accounting statements.

3AnalysisWe test the VAT treatment on a representative sample.

4FeedbackWe present the gaps, their priority and possible corrections.

5Action planIf you decide so, we prepare the necessary corrections.

What to do with the results

Depending on the findings, several next steps are possible: fix your processes going forward, file corrective returns, request a tax ruling on an uncertain point, or file a claim if you paid in error. The choice is yours; we prepare the corresponding files.

Key point: correcting an error spontaneously is generally simpler than having it found in an audit. The authorities set out their rules in the audited taxpayer charter (in French).

Limits and mistakes to avoid

Confusing a diagnostic with legal advice: Hanoutax does not give legal opinions and refers you to a tax lawyer for complex questions.
Providing a sample that is too small or too favourable: it distorts the findings.
Waiting for the end of a financial year to handle a known gap.
Not following up on the corrections decided.

FAQ

What is a VAT audit for?

To spot, before any tax audit, the gaps in VAT treatment across your transactions, returns and invoices, and to decide on corrections.

Which documents must I provide?

Typically: filed returns, trial balances or ledgers, sales and purchase invoices, contracts, transport proofs. The list is specified at scoping.

Does the diagnostic prevent a tax audit?

No. It helps reduce the risk of errors, but no result is guaranteed and the authorities keep their audit powers.

Can the audit be limited to a specific topic?

Yes, for example to intra-EU supplies, deduction or invoicing. The scope is defined with you.

What if the audit reveals an error?

We present the options: correction, claim, ruling or a simple fix of processes. You decide the next step.

Informational content, which does not constitute legal advice. The rules that apply depend on your situation.

Review your compliance?

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