E-Invoicing Requirement: what businesses need to know

Background and Legal Framework

Since January 1, 2025, electronic invoicing (e-invoicing) has been mandatory for domestic B2B transactions in Germany. The goal is to prevent VAT fraud while promoting digital transformation in accounting.

The Growth Opportunities Act, adopted in March 2024, serves as the legal foundation. It aims to boost growth, investment, and innovation while simplifying tax processes.

An e-invoice, as defined by the E-Invoicing Regulation (§ 2 E-Rech-V), is valid only if it:

• is issued in a structured electronic format (e.g., XML), and
• allows for automatic electronic processing.

Unstructured formats such as PDFs or images are no longer considered e-invoices and can only be used during transitional periods.

Technical Requirements and Implementation Timeline

Approved Formats

Two formats are currently approved for e-invoicing:

• XRechnung: pure XML format, optimized for digital processing.
• ZUGFeRD: hybrid format combining a PDF and an embedded XML file – both human- and machine-readable.

Both comply with European Standard EN 16931 and are valid across the EU.

Mandatory Deadlines

To allow businesses to adapt, the following timeline applies:

• Until 31 December 2026: PDF or paper invoices still allowed (with recipient consent)
• From 1 January 2027: Mandatory e-invoicing for companies with annual revenue above €800,000
• From 1 January 2028: Mandatory for all companies

Mandatory Invoice Data

E-invoices must include the following details:

• Routing ID
• Payment terms and bank details
• Issuer’s email address
• Supplier or order number (if applicable)

Archiving

Electronic invoices must be stored for ten years in their original format (GoBD-compliant, immutable, and traceable).

To help businesses keep their fiscal data secure and compliant, fiskaly offers flexible archiving solutions: with SAFE and SAFE flex, all receipts and invoice data remain available long-term – regardless of data origin.

👉 Click here to read more.

Benefits and Recommendations

Advantages of E-Invoicing

• Automation – fewer manual processes
• Cost savings – no paper, printing, or postage
• Faster payments – invoices reach recipients instantly
• Error reduction – structured data minimizes mistakes
• Sustainability – lower paper use and CO₂ emissions
• Legal certainty – full regulatory compliance

Preparation Tips

Businesses should:

• Review IT systems and accounting software
• Implement suitable e-invoicing formats
• Adjust internal workflows and train employees

Conclusion

The e-invoicing obligation represents a major step toward digital, transparent, and efficient business processes. fiskaly supports companies in implementing compliant e-invoicing and automated receipt management.