On 21st February 2024, the German Parliament’s Mediation Committee took significant steps toward the implementation of the Growth Opportunities Act, a pivotal piece of legislation that is set to reshape the landscape of e-Invoicing in Germany.
As professionals and business leaders, it’s crucial to stay ahead of legislative changes that impact our operational processes. While the proposed legislation is still under review, the implications for German VAT legislation and e-Invoicing standards are profound.
Key Points to Note
- e-Invoicing in Germany: Starting from 1st January 2025, the acceptance of electronic invoices will become mandatory, marking a significant shift towards digitalization.
- Mandatory e-Invoicing for B2B Sales: By 1st January 2027, all German-established companies with an annual turnover exceeding EUR 800,000 will be required to adopt e-Invoicing for domestic B2B transactions.
- For All Established Taxpayers: The mandate will expand to include all German-established entities, regardless of their turnover, starting from 1st January 2028.
- The Mediation Committee is scheduled to reconvene on 22nd March 2024 to further discuss this landmark legislation.
What does this mean for your business?
Adapting to these changes requires strategic planning and adjustment of your current invoicing processes. It’s more important than ever to evaluate your company’s readiness for this digital shift and explore the technologies and systems that can facilitate a smooth transition to e-Invoicing.
Stay Informed, Stay Ahead
Keep an eye on this space for more updates as we approach the enforcement dates. Understanding these legislative changes is essential for ensuring compliance and capitalizing on the growth opportunities presented by digital transformation in Germany.
