E-Invoicing & E-Reporting developments in the news in week 47/2025

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Follow the latest updates on E-Invoicing and Real Time Reporting on www.vatupdate.com and the LinkedIn pages on E-Invoicing/Real Time Reporting and ViDA.

HIGHLIGHTS OF WEEKS 47/2025

Global Shift to Digitalization: Countries are increasingly implementing electronic solutions such as e-invoicing, e-reporting, e-transport, and SAF-T mandates to enhance financial and logistical efficiency, reflecting a broader trend towards digitalization in commerce and tax compliance.
Country-Specific Profiles: The analysis includes detailed profiles of various countries, outlining their regulatory frameworks and measures related to e-invoicing and e-reporting. The profiles are regularly updated and include insights on the implications for businesses and compliance.
Engagement and Resources: Accompanying the country profiles is an engaging podcast available on Spotify, inviting listeners to delve deeper into the topics discussed. The initiative encourages feedback and discussions on the impact of these digital mandates on global trade and tax compliance.

Bosnia and Herzegovina is introducing electronic invoicing (e-invoicing) to modernize business and public administration, integrating digital tools like e-signatures and certification authorities.
A new Law on Fiscalization will establish a legal framework and a central platform for real-time transaction monitoring, though implementation deadlines are not yet set.
E-invoicing will align with European standards, enabling automated invoice processing, reducing errors, and facilitating cross-border trade.
Local IT companies are developing solutions to support the transition, making invoicing faster, more secure, and easier for businesses.
The system aims to save time, reduce administrative burdens, improve transparency, and help Bosnia and Herzegovina meet EU standards, benefiting both businesses and the broader economy.

Draft Explanatory Notes on Digital Reporting Requirements: The Commission services presented the first draft of explanatory notes concerning Digital Reporting Requirements (DRR), emphasizing that it is a preliminary document requiring further refinement, including missing graphics and tables. Members of the VAT Expert Group were invited to submit comments by November 28, 2025.
Key Areas for Discussion: Members raised several points for further discussion, including the need for clear definitions of invoicing processes, the distinction between compliant and conformant practices, guidelines for correcting invoice errors, and the need for executive summaries and visual aids in the notes. Additionally, concerns about data security, the implications of a five-day reporting requirement, and various transmission methods were addressed.
Clarifications from the Commission: The Commission clarified that certain Member States can maintain specific practices until 2035, the EDIFACT syntax is not permitted for cross-border transactions, and there is no obligation to structure all invoice data. They assured members of the security measures in place for the central VIES database and encouraged detailed feedback to inform the ongoing development of the explanatory notes.

The European Commission has proposed an amendment to enhance cooperation between the European Public Prosecutor’s Office (EPPO), the European Anti-Fraud Office (OLAF), and Member States, facilitating the exchange of information and access to VAT data to combat fraud against the EU’s financial interests.
The introduction of real-time digital reporting for cross-border trade aims to provide Member States with crucial information to address VAT fraud, particularly carousel fraud, which costs EU taxpayers an estimated €12.5 billion to €32.8 billion annually.
The proposal aims to improve communication and coordination among EPPO, OLAF, and Eurofisc, enabling efficient cross-border investigations and rapid identification of fraudulent activities, and will undergo consultation with the Council, European Parliament, and Economic and Social Committee before implementation.

Proposed Grace Period: France is considering a two-year grace period (Sept 1, 2026 – Aug 31, 2028) for businesses subject to the e-invoicing and e-reporting mandate, shielding “good faith” companies from fines.
Scope of Exemptions: The grace period would apply to penalties under Articles 1737 and 1788D of the General Tax Code, covering e-invoice issuance, e-reporting, and obligations for dematerialization platforms.
Pending Approval & Criteria: The amendment (No. I-1028) is part of the 2026 finance bill and awaits discussion; detailed criteria for “good faith” will be defined by a decree of the Council of State.

On November 15, 2025, the Polish Ministry of Finance launched a demo of the KSeF 2.0 Taxpayer Application for testing before its official release on February 1, 2026.
The demo allows users to issue, receive, and manage invoices in a simulated environment with no legal or tax consequences.
Features include issuing and correcting invoices, searching and downloading invoices in various formats, QR code access, managing permissions, and generating tokens.
The demo operates independently from the production environment, and real credentials are used with dummy data.
User feedback from the demo will be used to optimize the system before the full launch.

Turkey’s e-invoicing system is mandatory for most businesses, covering B2B, B2G, and many B2C transactions, with near-universal adoption expected by 2026.
Sector-specific rules and thresholds apply, with lower limits for high-risk sectors like e-commerce, fuel, and real estate.
Two main invoice types: e-Fatura (B2B/B2G, real-time clearance) and e-Arşiv (mainly B2C, next-day reporting), both requiring QR codes since 2023.
Strict compliance is enforced with significant penalties for non-compliance, affecting both issuers and buyers.
The system is fully digital, integrated with the tax authority (GİB), and includes digitalized ledgers, delivery notes, and receipts, but VAT returns must still be filed manually.

See also

Australia

Austria