Anti-fraud law and cash register software fine

Article 88 of the finance law 2015 requires VAT payers to install cash register software (hairdressing, esthetics) in accordance with the certification NF525. The obligation came into force on 1 January 2018 and failure to comply can result in significant penalties.

Penalties for failure to submit unconfirmed software

Article 88 was drawn up to combat VAT fraud and is aimed at professionals subject to this tax and using cash registers. Since 1 January 2018 The tax administration does not accept any half measures. In other words, a trader, hairdresser or beauty salon is either in compliance with the law or not.

During an inspection, a taxable person is required to provide documents relating to the certification of its cash register software or supporting documents, attesting to its compliance with the standard. If they fail to do so, they are liable to a fine of €7,500 per non-compliant cash register system.

Within 60 days of the official report being issued, they must acquire software that complies with NF525 rules or update their cash register systems. If no regularisation has been made after this period, the administration’s agents may apply a new fine.

Penalties for presenting false documents

In order to deter any attempt at falsification, the law provides for particularly heavy penalties for the presentation of false certificates or attestations.

Taxable persons holding false documents are liable to three years’ imprisonment and a fine of up to EUR 45 000. In some cases, penalties may also be imposed on the publisher.

For your information, the tax authorities may carry out unannounced inspections. Agents with the rank of controller are authorised to carry out checks on taxpayers.

They will draw up a report on the results of the audit;

After an intervention, they draw up a report including various information on the software used by the company. If they find irregularities in the documents or software, they can immediately apply the sanctions provided for by law.

For a shopkeeper, a hairdresser, a spa or a beauty salon, it is preferable to use software certified by an approved body. Unlike the certificate issued by a publisher, certification is a guarantee of quality and compliance with all the requirements of the NF525 standard. The latter imposes rules relating to the inalterability, security, conservation and archiving of data used in tax returns.

Cash register software fine: what are the risks of uncertified software?

Penalties for failure to submit unconfirmed software

Penalties for presenting false documents