VAT, payroll tax and aid for the acquisition of fuel - Tax ruling - 05/11/2022

Question:

As part of the economic and social resilience plan implemented following the increase in the price of petroleum products resulting from the international context, the Government, through decree No. 2022-423 of March 25, 2022, relating to exceptional assistance for the acquisition of fuels, has established exceptional assistance with an amount set at €0.15/L for diesel and gasoline, €15/MWh (PCS) for natural gas fuels, and €29.13/100 kg net for liquefied petroleum gas fuels.

This assistance is paid on behalf of the State by the Agency for Service and Payment to those who supply these fuels for distribution in France, starting, at the operator’s choice, between March 27, 2022, and April 1, 2022, and ending on July 31, 2022.

What are the rules applicable to this assistance in terms of value-added tax (VAT) and payroll tax (TS)?

Answer:

1. Rules applicable in terms of VAT

1.1. Mainland (including Corsica)

It results from the combined provisions of Article 256 of the General Tax Code (CGI) and Article 256 A of the CGI that deliveries of goods made for consideration by a taxable person acting as such are subject to VAT.