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Croatia Expands Fiscalization Scope and Mandates E-Invoicing

  • Expansion of Fiscalization: On February 27, 2025, Croatia proposed a draft law to expand fiscalization beyond cash transactions to include all payment types, such as non-cash transactions, and to cover industries previously exempt. This aims to enhance real-time reporting and validation of transactional data with the Tax Administration.
  • Mandatory B2B E-Invoicing and Reporting: The draft law introduces mandatory B2B e-invoicing and digital reporting, requiring all invoices to be processed electronically and reported in real-time to tax authorities, which is expected to improve tax compliance and financial transparency.
  • Implementation Timeline: Key dates include a voluntary testing phase for e-invoicing from September 1 to December 31, 2025, mandatory e-invoicing for VAT-registered businesses starting January 1, 2026, and full adoption for all businesses by January 1, 2027. Businesses are encouraged to prepare by upgrading their invoicing systems and participating in the public consultation on the draft legislation.

Source Fonoa


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