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Information of the Oberfinanzdirektion Karlsruhe

Introduction of mandatory e-billing on January 1, 2025

With the Growth Opportunities Act, the legislator has decided to introduce e-invoicing from January 1, 2025. Germany is thus following the example of other EU member states and some third countries, which are also making e-invoicing the standard for invoicing in commercial transactions.

What is an e-invoice?

An e-invoice is an electronic invoice that is created, transmitted and received in a specified structured data format in accordance with the European EN 16931 series of standards. Examples of such formats are the standard XRechnung and invoices according to the ZUGFeRD format.

Transitional regulations on the obligation to issue and receive e-invoices

The obligation to issue an e-invoice is preceded by gradual transitional regulations. Only from January 1, 2028 will the issuing of e-invoices be mandatory for all domestic entrepreneurs. Paper and PDF invoices will therefore still be permitted for the time being.

The following are exempt from the obligation to issue invoices

  • Sales to private end consumers
  • Sales between domestic and foreign companies
  • Invoices for small amounts and tickets
  • certain tax-free transactions (e.g. tax-free property rentals)
  • Invoices from small businesses

In these cases, paper and PDF invoices can continue to be issued beyond January 1, 2028.

From January 1, 2025, however, every entrepreneur (including small businesses) must be able to receive and process e-invoices. A normal email inbox is sufficient for this.

BMF letter and FAQ

The Federal Ministry of Finance (BMF) issued a letter on October 15, 2024, in which the new regulations are explained in detail. In addition, the most frequently asked questions are answered in summarized form on the BMF website(FAQ).

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