The conservation methods
& The conservation periods
Archiving company documents is an essential legal obligation, particularly regulated by the French Commercial Code and the French General Tax Code (CGI). These documents (accounting documents, contracts, tax returns, etc.) must be kept in order to guarantee the traceability of operations and to respond to possible audits or disputes.
Companies must therefore implement effective methods, such as paper or digital archiving, while respecting security and confidentiality requirements. Rigorous management of these archives not only meets legal obligations, but also optimizes internal data management.
We will present the subject in three points:
- Methods of document conservation
- Various conservation periods
- Sanctions incurred in the event of non-compliance with these obligations
If you would like to clarify any other point on this subject, you can call upon one of our experts who will provide you with the explanations you require.
I – Methods of document conservation
At this point, two major questions arise:
- Should I keep the original or a copy of the document?
- Should I keep the document in paper or electronic format?
1. The original when possible
In principle, it is necessary to keep the original of a document. However, in the context of legal proceedings, the law accepts that a party provides a copy provided that this copy is a “faithful and durable (indelible)” reproduction of the original. The judges must then recognize the probative force of this copy.
We also specify that companies must present the originals of the documents to public finance officers.
2. Paper or electronic format?
The electronic format limits the risk of loss or destruction, reduces the storage space required and allows rapid access to supporting documents.
It is necessary that the person who produced a document can be identified, and that the electronic document be produced and stored in conditions that guarantee its integrity (Article 1316-1 of the Civil Code).
When storing an accounting document received on paper in electronic format, it is imperative to comply with the conditions set out in the Book of Tax Procedures. Thus, an accounting document must be stored in PDF format (or PDF A/3), the colours reproduced identically and each file must be time-stamped.
On the other hand, documents established or received on computer media must be kept compulsory in electronic form for at least 3 years, during which time the tax administration may exercise a right of recovery. The company is not required to create additional paper archives.
Note: Accounting documents must be stored on a server located on French territory. Otherwise, the company must inform the tax authorities.
II – Various conservation periods
Time limits vary depending on the nature of the documents and legal obligations. The company may also archive documents for longer, unless they contain personal data.
1. Tax and documents
The books, registers, documents or items on which the administration’s rights of communication, investigation and control may be exercised must be kept for a period of 6 years.
This period begins either from the last transaction mentioned in the books or registers, or from the date on which the documents or items were established.
Type of tax | Storage period |
Income tax (IR) and corporate tax (IS) | 6 years |
Industrial and commercial profits (BIC), non-commercial profits (BNC) and agricultural profits (BA) in real regime | 6 years |
Corporate taxes for sole proprietorships, SARL (farms, professional practice companies) | 6 years |
Local direct taxes (property taxes, etc.) | 6 years |
Business property tax (CFE and CVAE) | 6 years |
Turnover taxes (VAT and similar taxes, tax on insurance contracts, etc.) | 6 years |
Note: The time limits are extended to 10 years in the event of hidden activity (tax fraud, concealed work, failure to declare, illicit activity, for example).
2. Social documents
Nature of documents | Storage period |
Employment contracts, letters of engagement, resignation, disciplinary sanction, dismissal | 5 years |
Single personnel register | 5 years from the employee’s departure |
Pay slips | 5 years |
Documents justifying the recording of employees’ working hours, on-call hours and their compensation | 1 year |
Documents justifying the recording of working days of employees under a flat-rate agreement | 3 years |
Documents relating to social security contributions or tax on salaries | 3 years + current year |
Statements and other documents relating to an accident at work | 5 years |
Documents from the labour inspection | 5 years |
3. Accounting and legal documents
Type of document | Storage period |
Accounting book and register: journal, general ledger, inventory book, etc. | 10 years from the end of the financial year |
Annual accounts (balance sheet, income statement, annex, etc.) | 10 years from the end of the financial year |
Articles of association of a company, an Economic Interest Group or an association (if necessary, document amending the articles of association) | 5 years from the loss of legal personality (or deletion from the RCS) |
Register of registered securities | 5 years from the end of their use |
Attendance sheet and powers | Last 3 financial years |
4. Civil, commercial and insurance documents
We have included several types of documents in the table below, but the list cannot be complete. Please do not hesitate to contact us if you have any questions about a particular document that is not listed.
Type of document | Storage period |
Contract or agreement concluded within the framework of a commercial relationship, commercial correspondence (paper or electronic) | 5 years |
Bank document (check stub, bank statement, etc.) | 5 years |
Guarantee for goods or services supplied to the consumer | 2 years |
Contract concluded electronically with a consumer (from €120) | 10 years from delivery or service |
Contract for the acquisition or disposal of real estate and land | 30 years |
Customs declarations | 3 years |
Lawyer’s file | 5 years from the end of the mandate |
In matters of insurance contracts: Receipts, due date notices, termination letters, proof of payment | 2 years |
Insurance contracts | Contract duration |
Personal injury claim file (invoices, expert reports, medical certificates, etc.) | 10 years after the end of compensation |
III – Sanctions incurred in the event of non-compliance with these obligations
There is no specific penalty for failure to keep documents, however, the following penalties may be incurred in tax matters:
- A fine of €10,000 in the event of refusal to provide certain supporting documents during an audit by the tax authorities;
- A fine of up to €50,000 in the event of opposition to the taking of a copy in accordance with Article L.13F of the Book of Tax Procedures.
In addition, the voluntary destruction or concealment of accounting documents constitutes a criminal offence. Consequently, these actions are punishable by a fine of €45,000 and a prison sentence of 3 years for the manager of the company.
We should also point out that, in the absence of clear writings, for files which may be sources of dispute, it may be useful to keep faxes, e-mails, etc. because these documents will be the beginnings of written proof.
And finally, we insist on the fact that the conservation of documents will allow the company or its manager to:
- Preserve its rights because it is by means of writings that one most easily proves the reality and the extent of its rights;
- Prove that it has fulfilled its obligations, in particular with regard to the tax administration, social security funds or even with regard to a co-contractor;
- Prove the date of settlement of a debt.
In any case, we are at your disposal so you can contact us if you need some support or more information!
