Last updated on 2 weeks ago
The European VAT in the Digital Age (ViDA) regulation has accelerated the adoption of mandatory electronic invoicing throughout the European Union (EU). The proposal aims to increase tax transparency and reduce the VAT gap.
Within this context, Germany has developed a progressive roadmap for implementing B2B electronic invoicing, and has adjusted the timelines and operational requirements from the original plans.
Companies operating or intending to operate in the German market must understand the current rules, formats, and deadlines to avoid potential issues in future.
Mandatory B2B electronic invoicing in Germany: what has really changed?
Contrary to initial expectations, the implementation of mandatory electronic B2B invoicing in Germany has been postponed until 2027–28. A gradual approach has been designed to support businesses during this transition.
The new official deadlines
- From 1 January 2025
All companies must be technically prepared to receive electronic invoices that comply with the European standard EN 16931. This applies even if issuance is not yet mandatory. - From 1 January 2027
The issuing of B2B electronic invoices will become mandatory for companies with an annual turnover exceeding €800,000. - From 1 January 2028
It will be obligatory for all copanies, irrespective of their turnover, to issue electronic invoices.
Unstructured documents (such as simple PDFs) will no longer be considered valid for VAT purposes.
B2B electronic invoice formats in Germany
One of the central aspects of German legislation concerns permitted formats. The only key principle is compliance with the EN 16931 standard.
XRechnung is the national standard format
XRechnung is the official German format for electronic invoicing. It is:
- mandatory for B2G (business-to-government) transactions
- based on XML
- fully compliant with EN 16931
- being increasingly used in B2B transactions
Despite its rigorous structure, it guarantees high interoperability with public and private systems.
ZUGFeRD: the hybrid format for B2B
ZUGFeRD is a hybrid format developed in collaboration with France (Factur-X).
- It combines a readable PDF with a structured XML file
- It is compliant with EN 16931
- The recommended version is ZUGFeRD 2.3.2, which is compatible with XRechnung.
ZUGFeRD is often chosen by companies because it is easier to use in B2B contexts.
Other formats are permitted (provided they comply with EN 16931)
Germany also recognises international formats, provided they comply fully with the European standard. Examples include:
- UBL ISO/IEC 19845:2015
- Cross Industry Invoice XML – UN/CEFACT
The important distinction is not the format itself, but full semantic and structural compliance with EN 16931.
Peppol’s role in German electronic invoicing
A cross-cutting and increasingly important requirement is interoperability via Peppol.
In Germany, electronic invoices must be:
- Transmissible
- Consultable
- Exchangeable
through the Peppol network, regardless of the format used.
This approach reinforces the country’s adoption of a decentralized model, which differs from centralized systems such as the Italian SdI, but is perfectly aligned with European interoperability objectives.
Why prepare for B2B e-invoicing in Germany now?
While the main deadlines are now set for 2027 and 2028, 2025 was a pivotal year for technological adaptation. It required:
- All companies to be able to receive and manage e-invoices
- ERP and accounting systems to be able to support structured formats
- Cross-border interoperability as an operational requirement, not an option.
For international groups, the risk is not only regulatory, but also operational and organizational.
B2B electronic invoicing in Germany and international compliance
Germany is part of an increasingly harmonised European framework, in which electronic invoicing is becoming the cornerstone of near real-time VAT controls.
For this reason, many companies are choosing platforms that can manage multi-country compliance from a single platform that integrates natively with existing systems and adapts to regulatory changes.
In this context, solutions such as the Comply Platform by Dedicated set the standard for the structured and scalable management of international electronic invoicing.
