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German e-invoicing will be mandatory: 7 things you need to know

Germany is making e-invoicing mandatory for domestic B2B transactions. If you have a German entity, a real deadline is coming up. Here are the seven things you need to know now.
Jan Maenhaut
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1. The obligation applies to domestic B2B

The rules apply when both supplier and customer are established in Germany, or have a German fixed establishment.  

B2C is out of scope and so do invoices under €250, transport tickets and certain exempt supplies. Kleinunternehmer (VAT-exempt small businesses) don’t have to issue e-invoices. 

2. The deadline depends on your turnover

Receiving has been mandatory since 1 January 2025. For issuing, the rule is:

 

Companies with a turnover above €800K must send e-invoices from 1 January 2027 

Companies below €800K have until 1 January 2028. PDF and paper invoices are still allowed until the end of 2027 but only if the recipient agrees.

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3. Receiving is already alive but it’s not a big deal

Since 1 January 2025, every German company must be able to receive e-invoices. No consent from the recipient is required, and no heavy system either: a mailbox is enoughThe real effort lies on the issuing side.

 

4. The format is fixed, the network is not

Your e-invoice must comply with the European standard EN 16931. The permitted formats are XRechnung, ZUGFeRDPeppol and EDIFACT. Germany doesn’t prescribe a network, though: sender and receiver just agree on how they send it to each other. In practice that’s Peppol, email, EDI or a portal.

5. The 3 formats that really matter

XRechnung

pure XML file, not readable by a human, mandatory for B2G since 2020, exchanged via r Peppol network.

ZUGFeRD

a hybrid PDF with XML embedded inside. People read the PDF, software can read the the XML. Popular because the visual document is preserved as any other PDF file.

Peppol BIS Billing 3.0

pure XML, and both a format and a network at the same time. The standard for cross-border exchange within the EU.

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6. The German landscape is hybrid and fragmented

Because the law doesn’t force a network, every trading partner may use a different channel. The practical approach: agree the channel up front with your suppliers and customers. Peppol where you can, email as a fallback. Those two channels cover the vast majority. Remember: you are not legally obliged to support portals or EDI.

 

7. Archive your invoices for at least 8 years

The original, structured e-invoice must be kept unchanged and machine-readable for a minimum of eight years. A digital archive is therefore not a luxury, it’s part of the requirement.

Ready to take the next step?

Amista helps businesses with a German entity become compliant on timewithout replacing your ERP.

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