Parliament Confirms 2028 B2B E-Invoicing Start, Rejects Earlier 2027 Delay Proposal
On June 5, 2025, the Parliament (Saeima) adopted new amendments to the Accounting Law (No. 967/Lp14), confirming January 1, 2028, as the start date for mandatory B2B e-invoicing. This followed the rejection of an earlier proposal (No. 927/Lp14) by the Budget and Finance (Tax) Committee, which had suggested postponing the mandate only to January 1, 2027.
Updated B2G Timeline: Mandatory Reporting Starts in 2026
While businesses have been encouraged to issue e-invoices for B2G and G2G transactions since 2025, mandatory reporting of e-invoice data to the State Revenue Service (SRS) for transactions with budget institutions will now take effect from January 1, 2026. This obligation applies to both business-to-government (B2G) and government-to-government (G2G) invoices.
B2B Mandate Postponed to 2028
Latvia’s original plan to enforce mandatory business-to-business (B2B) e-invoicing starting in 2026 has officially been postponed. Following parliamentary discussions and stakeholder input, the new enforcement date is set for January 1, 2028.
Voluntary B2B Launch from March 2026
Despite the delay in mandatory B2B implementation, companies will be allowed—and encouraged—to begin voluntary B2B e-invoicing as of March 30, 2026. This transitional phase gives businesses time to prepare their internal systems and workflows for full compliance by 2028.
Technical Standards and Transmission Options
Latvia’s e-invoicing model is based on the European Peppol framework. The key technical and legal points include:
- Format: Invoices must follow Peppol BIS Billing 3.0 in XML
- Transmission: Businesses can submit invoices via:
- A free government portal
- Certified Peppol access points
- Bilateral agreements between trading partners
- Archiving: 5–10-year retention based on the nature of the invoice
- Digital Signatures: Not required for either B2G or B2B
Invoices must also be reported to the State Revenue Service (SRS) to support real-time oversight and tax controls.
Legal Developments and Legislative Context
The regulatory changes are grounded in amendments to Latvia’s Accounting Law, initiated in May 2024 and approved later that year. Further discussions in April 2025 resulted in shifting the B2B deadline from 2026 to 2028. The move reflects alignment with business readiness and upcoming EU mandates.
Context within EU-wide Reforms
Latvia’s model mirrors the broader EU vision outlined in the VAT in the Digital Age (ViDA) initiative, which will require intra-EU B2B e-invoicing by July 1, 2030. Latvia’s phased approach positions the country to transition smoothly into this pan-European requirement.
Latvia is moving steadily toward full e-invoicing adoption, starting with mandatory B2G and G2G reporting in 2026 and culminating in a comprehensive B2B mandate in 2028. With clear technical guidelines and phased adoption, businesses are well-placed to modernize their invoicing systems while aligning with broader EU reforms.
