Germany to implement mandatory e-invoicing for B2B transactions

Germany is introducing mandatory e-invoicing requirements for B2B transactions. Starting January 1, 2027, companies with an annual turnover exceeding 800,000 euros must issue electronic invoices. By 2028, this requirement will extend to all domestic B2B transactions, including small businesses, though invoices under 250 euros and small businesses under specific tax regulations are exempt.

To comply, businesses must use structured, machine-readable data formats following the European EN 16931 standard, such as XRechnung or ZUGFeRD. Simple PDF files do not meet the legal requirement. Additionally, companies must ensure that the structured data portion of these invoices remains unchanged for the mandatory eight-year retention period.

A survey conducted by YouGov on behalf of Easybill indicates that many companies are currently unprepared. Only 26 out of 502 surveyed businesses felt ready for the transition, with many still relying on manual processes like Word or Excel for accounting and tax logic.