In January 2025, Germany introduced a phased mandatory e-invoicing requirement in the business-to-business (B2B) sector — and by January 2027, all affected companies must be fully compliant. This mandate applies directly to German businesses as well as international companies operating in Germany.
Since January 2025: All businesses in Germany registered for value-added tax (VAT) have been required to receive structured e-invoices. Standard PDF invoices are no longer considered legally compliant e-invoices.
By January 2027: Companies with annual revenue exceeding €800,000 must also issue structured e-invoices — mandatorily in one of the approved e-invoice formats (XRechnung or ZUGFeRD). For all other businesses, this obligation applies from January 2028.
The mandate covers all domestic B2B transactions between VAT-registered companies resident in Germany, regardless of company size or industry.
The clock is ticking. Those who still rely on outdated or inadequate solutions risk compliance gaps and significant operational burden.
In conversations with companies in Germany, we keep encountering the same question: “Is our existing accounting software sufficient for this?” The short answer: Probably not — at least not for companies with an international footprint.