In today’s rapidly evolving regulatory landscape, tax departments are under increasing pressure to enhance efficiency, ensure compliance and deliver strategic value. However, securing an investment in tax technology often requires a compelling business case that resonates with organizational stakeholders. With the right strategy and organization buy-in, you can transform your tax.
Join us for this webinar where Sovos experts will be joined by an SAPinsider analyst to discuss how tax leaders can construct a persuasive business case for tax technology investment. Drawing from real-world experiences and best practices, we’ll explore how to align tax technology initiatives with broader organizational goals, quantify both tangible and intangible benefits and effectively communicate the value proposition to decision-makers.
Attend to learn how you can:
Quantify ROI, including cost savings, risk mitigation and process improvements.
Simplify support frameworks by centralizing your tax technology under one.
Transform your tax center into a profit center.
Anticipate future requirements and ensure flexibility in tax processes.
Strengthen your business case and engage stakeholders effectively.
Whether you’re a tax professional seeking to modernize your department or a finance leader evaluating technology investments, this webinar will equip you with the tools and insights needed to build a robust business case for tax technology.
Don’t miss this opportunity to learn how you can transform your tax function into an asset for the business.
Keeping up with evolving tax mandates across multiple countries is challenging. This webinar provides key insights into recent and upcoming regulatory updates—including VAT, SAF-T and e-invoicing—across 12 European countries, helping you stay compliant and prepared.
We recently partnered with StudioID on a global survey of 150 finance leaders to reveal significant insights into how companies are navigating the increasingly complex world of indirect tax compliance. The research, which included CFOs, EVPs/SVPs/VPs of Finance, and Finance Directors from companies with revenues ranging from $500 million to over $5 billion, provides a comprehensive look at the strategies finance leaders are implementing to stay ahead of changing regulations.
Real-Time Reporting Becomes Essential
The survey found that an overwhelming 95% of finance executives believe ensuring accurate real-time data reporting is important or extremely important for improving tax and compliance operations. This shift reflects a fundamental change in how tax authorities operate globally.
Previously in indirect tax, the way that the government could enforce the law was always through periodic reporting, but it was an unsophisticated instrument. Now, continuous transaction controls have become very popular since it’s about sending data in real time to the government.
This transition means businesses are no longer simply reporting their subjective view of a period’s aggregate sales and purchasing numbers —tax authorities are increasingly gathering authenticated data in real-time and informing companies of their liability instead. The stakes are higher than ever, with non-compliance potentially halting business operations entirely rather than just resulting in penalties.
Navigating Complex Jurisdictions
The complexity of global tax compliance is staggering. Approximately 30% of both US-based and international companies surveyed sell products and services across 2,000 to 5,000 different tax jurisdictions. Each jurisdiction has its own rules, rates, and reporting requirements. Requirements are also increasingly dynamic, with laws and technical specifications evolving to reflect tax administrations’ fine-tuning operations at an ever-increasing rate.
With initiatives like VAT in the Digital Age (ViDA) and e-invoicing mandates rolling out across Europe and beyond, companies must stay ahead of regulatory changes. Encouragingly, 87% of finance executives report having systems and processes in place to anticipate these upcoming mandates.
Top Challenges in Implementation
When it comes to successfully implementing current and upcoming e-invoicing mandates, finance leaders identified two primary challenges:
Staying informed about domestic and international compliance requirements (38%)
Choosing the right platform that can seamlessly integrate with existing systems (49%)
Additionally, 56% of respondents mention difficulty in making business decisions due to limitations around tax and compliance data accessibility and accuracy.
Strategic Responses to Tax Complexity
Finance leaders are implementing several key strategies to improve their indirect tax and compliance operations:
Training existing teams on tax technology (56%)
Developing and maintaining tax technologists (51%)
Hiring specialized talent (34%)
Investing in fully automated solutions (61%)
These investments are paying off—76% of finance executives report seeing a positive return on investment from their tax compliance software. However, cost remains a significant concern, with 91% identifying “lowering or maintaining compliance costs” as a top priority.
The Problem of Point Solutions
One notable finding is that 73% of respondents believe their companies use too many point systems to meet tax obligations across different geographical locations. The median number of systems currently in use is 40, with most wanting to reduce this number significantly.
There seems to be a lot of confusion in the market, whereby a lot of businesses think they need to replace their business software with regulatory-driven software. This simply isn’t true as there are multiple ways that leaders can make existing business software compliant.
Looking Ahead
As tax authorities worldwide continue advancing their technology, making compliance more complex and demanding, finance leaders must balance compliance requirements with business objectives. The most successful approach integrates tax considerations into core business processes rather than treating them as separate functions.
The message is clear: while tax compliance is becoming more complex, the right strategies and technologies can transform this challenge into an opportunity for greater efficiency and intelligence about your business. Whatever you set as your business objectives, make sure that your compliance software works in such a way that the tax is never a burden.
By staying ahead of regulatory changes and investing in the right solutions, finance leaders can ensure their organizations not only remain compliant but thrive in an increasingly complex global tax landscape.
Want to learn more about how finance leaders are adapting to the changing indirect tax landscape? Download the full research report, “The Future of Indirect Tax: How Finance Leaders Are Staying Ahead of Changing Regulations” for comprehensive insights and strategic recommendations. Download Now
Sales tax compliance in the U.S. has never been more complex – and the stakes have never been higher. With 19,000+ jurisdictions, relentless regulatory changes, and evolving audit practices, it’s easy for even well-resourced businesses to fall behind.
In this session, Sovos product and regulatory experts will unpack what’s driving today’s compliance challenges and how leading companies are preparing for what’s next, from ERP transformations to smarter tax technology investments.
We’ll also take a brief look at how real-time tax enforcement is reshaping compliance in Europe and beyond – and why U.S.-based companies should not assume “it won’t happen here”.
You’ll learn:
-Why future-proof solutions are essential for navigating intricate sales tax regulations and ensuring compliance across multiple jurisdictions
-How tax leaders can drive and shape the conversation around tax strategy, ensuring alignment with business goals and compliance requirements
-What to look for in a tax technology partner
-How to build a compelling business case for compliance investment
Whether you’re entering the US market, expanding into new states, or simply trying to stay audit-ready, this session will give you the actionable insights you need to future-proof your sales tax compliance strategy.
We are thrilled to announce that Sovos will be Diamond Sponsors at the 7th Annual VAT Management Summit in London. The event brings together leading experts and professionals to discuss the latest trends, regulatory updates, and best practices in VAT compliance, indirect tax management and the global digital transformation of tax.
Both Christiaan van der Valk, General Manager, Indirect Taxtech and Ryan Ostilly, VP Product Management at Sovos, feature on the packed agenda.
To review the full list of this year’s topics and speakers, download a brochure, and register for the event, click here.
Meeting Venue
Congress Centre – 28 Great Russell St, London WC1B 3LS, United Kingdom
As some countries either introduce or consider introducing mandatory natural catastrophe insurance (e.g., Italy this year), France is ahead of the curve.
This is because France already has a specific compensation scheme in place for coverage of property against natural disasters, and has had one since 1982. The importance of the scheme is clear, as it is based on a statement in the preamble to the 1946 Constitution that French citizens are united and equal in bearing the burden of natural disasters. It is often referred to as the CATNAT or NATCAT regime.
What is the scope?
Unlike in some countries where mandatory natural catastrophe insurance may be limited to insurance of buildings, various types of insurance are within the remit of the CATNAT regime in France.
First and foremost, damage to property coverage (both fire damage and any other damage to property) triggers the insured’s entitlement to cover against the effects of natural disasters. This is extended to damage to motor vehicles and, separately, also operating losses caused by damage to property.
It is worth highlighting that insurers providing these types of insurance must include a clause in their contracts outlining their coverage of natural disasters. Any provision to the contrary is invalid.
Practical application of the CATNAT regime
Insurers collect an additional premium (the so-called CATNAT premium) representing the coverage of natural disasters at a rate set in law and based on the type of insurance, subject to exemptions. Following a change in January 2025 due to increased costs caused by climate change, the premium rate for property damage is now 20%, whilst there are rates of 9% and 0.75% in the case of motor coverage.
Insurers have a choice on what to do with this premium amount. They can choose to retain it themselves, in which case they are responsible for compensating policyholders for damage caused by natural disasters. Alternatively, they may opt to utilise the private reinsurance market. Finally, and most significantly, there is also the option for insurers to reinsure the premium with the state-backed reinsurance body, Caisse Centrale de Réassurance (CCR).
CCR only provides cover in the event of genuine natural disasters, as defined by their exceptional intensity. Floods and earthquakes typically satisfy this, whereas storms and hail do not as the insurance market can cover them as normal. Where CCR does provide compensation, it offers unlimited reinsurance coverage.
IPT implications
The CATNAT premium is subject to premium tax treatment, meaning that it also attracts IPT. Additionally, an additional insurer-borne levy due on property risks is calculated as 12% of the CATNAT premium. These are the contributions to the Major Risk Prevention Fund (or Fonds Barnier), which are included on the IPT return.
Sovos is well placed to assist both in identifying whether a particular policy is within the scope of the CATNAT regime and with the ultimate declaration and settlement of the taxes due on the CATNAT premium.
Hungary’s tax penalty consequences of non-compliance with tax requirements are governed by the Act on Rules of Taxation.
The law outlines a range of sanctions for non-compliance, including tax penalties, default penalties, late payment interest and self-revision fees. This blog will provide an overview of each sanction and summarise recent changes in this area.
Types of sanctions in Hungary for non-compliance
In Hungary, there are four types of payable sanctions for not complying with tax rules. While most of these sanctions are imposed by the Tax Authority, the self-revision fee is calculated and settled through self-declaration.
Tax penalty
A tax penalty is imposed as a result of an audit when the Tax Authority identifies a tax shortfall during an inspection. The standard rate is 50% of the unpaid tax, but it can increase to 200% in some cases.
Default fine
A default fine is a sanction that the tax authority may apply in case of a breach or failure to comply with tax obligations specified in legislation regarding taxes and budgetary subsidies. Most default fines are determined as fixed fees rather than a percentage. The law determines the maximum amount of this fine. The Tax Authority has the discretional right to levy it in the maximum amount, decrease it, or void it.
The amount that the Tax Authority can levy depends on the type of non-compliance and the taxpayer’s status, i.e., whether it is an entity or an individual taxpayer. For example, a default penalty can be levied for missed or late submission of a tax return.
Late Payment Interest (LPI)
LPI is charged when tax liabilities are not paid on time. The interest is calculated daily, and the rate is based on the central bank’s base rate plus five percentage points divided by 365. The Tax Office determines and assesses the amount of LPI.
Self-Revision Fee (SRF)
A Self-Revision Fee (SRF) applies when taxpayers voluntarily amend their tax returns to report a higher amount than initially declared. The SRF is calculated at a rate equivalent to the prime rate. In cases where the same return is revised multiple times, the applicable rate is increased by 50%.
The SRF must be calculated and self-declared simultaneously with the revised tax liability.
The severity of sanctions and applicable settlement rules vary based on the so-called qualification of the taxpayers. Taxpayers are categorised into three groups: Reliable, Neutral and Risky. Reliable taxpayers benefit from more lenient treatment, including reduced default penalties, whereas risky taxpayers are subject to stricter sanctions. For neutral taxpayers, standard penalty levels apply by default.
Changes to Hungary’s tax penalty regime
Recent changes to Hungary’s tax penalty regime include the following.
Increase in default fine
The Hungarian government doubled certain penalty amounts from 1 August 2024:
For individuals, the maximum default penalty increased from HUF 200,000 to HUF 400,000
For legal entities, it rose from HUF 500,000 to HUF 1,000,000
Late Payment Interest (LPI) changes
Effective from 1 January 2025, there were changes in:
Calculation method The payable LPI is calculated monthly. Previously, it was annually.
Payment date Previously, the due date was 15th November of the following year.
Based on the new rules for 2024, the LPI was payable by 31 March 2025. For the months of January to March, LPI is assessed in April and is payable by 22 April (as 20 April 2025 is a public holiday). From April 2025 onwards, LPI is levied and accounted for monthly on the taxpayers’ tax accounts and payable by the 20th of the following month.
Rounding rules Late payment interest should be paid without rounding in HUF.
Notification The Tax Office will not send notifications going forward on the amount of the payable LPI, although one will still be sent once the payment threshold has been reached. LPI will be booked on the tax account, and it should be settled monthly without notification. As a transitional rule, the notifications were sent out by the Tax Office for 2024.
Despite the change in the calculation method, no changes were made regarding the threshold under which LPI is not payable. This amount remained HUF 5,000 annually.
The Hungarian Tax Office issued a notification about the changes in LPI settlement on 11 April 2025 and published the corresponding guidance on its website on 3 February 2025.
Take Action
For further information about tax compliance in Hungary and beyond, contact Sovos’ team of experts today.
In this new IPT webinar, we’ll take a look across the IPT landscape, with a particular focus on France’s fire policies and the recent rate changes and Hungary’s changes to the late payment interest (LPI) settlement.
As indirect taxes (sales tax, VAT, GST) continue to play an increasingly vital role in global economies, tax authorities are modernizing their processes to improve efficiency and oversight. This evolving landscape presents businesses with both new opportunities and complex challenges when it comes to maintaining compliance.
Join Sovos expert Christiaan Van der Valk as he highlights five key trends in Indirect Tax Digitization, offering valuable insights into how businesses can adapt to the shifting regulatory environment. You will also learn strategies for staying compliant and ahead of the curve in this rapidly changing space.
We will cover:
The shifting landscape of indirect tax and its growing significance.
The five key trends business leaders must take into consideration when developing their tax and compliance strategy
How to develop a long-term plan and stay ahead
We hope to see you there!
Denmark E-invoicing
Denmark has mandated the use of electronic invoices, though not in all contexts, since 2005 – making it an early adopter of the technology. E-invoicing is required for suppliers of goods and services when conducting business with public entities (B2G).
There is no e-invoicing mandate for B2B transactions, however. This page provides an overview of the state of electronic invoicing in Denmark. Be sure to bookmark it to stay updated on future regulatory changes.
There is no e-invoicing mandate for B2B transactions in Denmark.
However, in May 2022, Denmark adopted the new Danish Bookkeeping under which Danish registered businesses or foreign companies with permanent establishments that have accounting obligations in Denmark are required to adopt digital bookkeeping systems compliant with the new regulations.
According to the new regulations, taxpayers in scope must use Digital Bookkeeping Systems capable of generating, receiving and storing electronic invoices in the Peppol BIS and OIOUBL (the Danish-specific version of the UBL) formats.
Businesses in Denmark can choose a digital bookkeeping system registered with the Danish Business Authority – which indicates it complies with the new Digital Bookkeeping Act). If a business opts to use a digital bookkeeping system that is not registered, it falls on them to ensure their systems meet the requirements according to the new Danish Bookkeeping Act.
The requirement to use compliant digital bookkeeping systems was introduced in a phased timeline:
2024 – Large taxpayers (defined as those who are required to submit annual financial statements) who choose to use a standard registered bookkeeping system (ERP) must ensure their bookkeeping system is certified by the Danish authorities
2025 – Large taxpayers (defined as those who are required to submit annual financial statements) choosing to use a specially designed or foreign bookkeeping systems must ensure that their system is compliant
2026 – Personally owned companies with an annual net turnover of more than DKK 300,000 in two consecutive years (e.g. 2024 and 2025) must ensure that their system is compliant
B2G e-invoicing in Denmark
In Denmark, sending and receiving electronic invoices is mandatory for B2G transactions. This means that suppliers of goods and services to public authorities and institutions must issue invoices electronically—either in the Peppol or national OIOUBL format.
The Danish government mandates using its NemHandel platform for sending and receiving e-invoices in a B2G context.
The use of Peppol in Denmark
Peppol is widespread in Denmark, serving as one of the two accepted means of formatting an electronic invoice. It’s said that 99% of B2G invoices in the country are electronic, and now the focus is improving the uptake of e-invoices in B2B transactions – which is not mandated.
The Danish Business Authority (ERST) is the nation’s Peppol Authority. This means it is responsible for registering companies that want to become a Peppol Access point or Service Metadata Provider (SMP), reporting, representing Denmark’s interests regarding Peppol and other related administrative efforts.
Follow Denmark’s e-invoicing journey with these key dates.
2005: Suppliers to public entities are required to issue invoices electronically
2017: Denmark integrates its e-invoicing system NemHandel with Peppol
18 April 2019: Public entities must be able to receive and process e-invoices to the European standard (EN-16931)
19 May 2022: Danish parliament passes law to introduce requirements for a digital bookkeeping system
1 July 2024: The new Digital Bookkeeping Act requirements become applicable
1 July, 2030: Danish VAT-registered businesses must comply with VAT in the Digital Age (ViDA) requirements, which include mandatory e-invoicing and digital reporting for Intra-Community B2B transactions.
Setting up e-invoicing in Denmark with Sovos
Complying with the tax requirements of one country can be tough; never mind multinational compliance everywhere you do business. Add e-invoicing requirements to that mix, and it can take up a lot of time and headspace in your organisation.
Sovos is your ideal compliance partner for wherever you do business: a single vendor for all of your tax requirements that frees you up to focus on what truly matters to you.
Contact us today to learn more about how Sovos can help.
Issuing electronic invoices is mandatory in Denmark for B2G transactions (suppliers of goods or services to public authorities and institutions), but there is no mandate for B2B e-invoicing in the country.
Digital bookkeeping systems must be able to issue, send, receive and store e-invoices in both the Peppol BIS and OIOUBL (the Danish-specific version of the UBL) formats.
This webinar will deepen your understanding of cross-border transactions within SAP. Whether you’re navigating the complexities of VAT or seeking to enhance SAP’s capabilities, this session will provide you with actionable insights and strategies to optimise your processes.
Join us on 30 April for our next VAT Snapshot webinar where we’ll be taking a look at the latest e-invoicing updates across 10 countries: Greece, France, Belgium, Malaysia, Philippines, Portugal, Angola, Israel, Slovenia and Croatia.
In today’s digital world, every department across a business seeks money and resources to enable or expand digitization projects. The tax team must build a solid justification that demonstrates the value that will be returned to the business that also aligns with interconnected projects, such as ERP upgrades and government-mandated digitization initiatives.
Join us on 27 May for valuable takeaways you can put directly into practice in your organization.
Join Sovos at Factuurcongres®, where digital transformation and EU regulations take centre stage. Discover the latest trends, connect with peers and explore smart solutions to optimise your financial processes.
Don’t miss this chance to future-proof your financial strategy.
Postillion Convention Centre Utrecht, Bunnik, Netherlands
Norway E-invoicing
Norway is widely regarded as one of the more forward-thinking European countries when it comes to e-invoicing.
Serving as one of the original Peppol adopters and having implemented a mandate for B2G transactions since 2011, Norway has long been on an e-invoicing journey. That said, it has yet to implement a mandate for B2B transactions.
This page has all the information you need to be aware of Norway’s implementation of electronic invoicing.
There is no e-invoicing mandate for B2B transactions in Norway. Despite it not being required, it is popular on a voluntary basis throughout the country. Businesses can send invoices electronically, providing they have acquired the buyer’s consent.
With the EU’s ViDA initiative now approved, Norwegian businesses will need to send invoices electronically for cross-border B2B transactions from 1 July 2030. The country may well look to introduce a mandate ahead of time, however, with the Ministry of Finance launching a study into its implementation on 16 January 2025.
B2G e-invoicing in Norway
Since 2011, central authorities have been mandated to receive and process invoices electronically. In 2012, Norway mandated all suppliers of central government entities to send e-invoices. Finally, in 2019, it passed a regulation mandating public contracting authorities to receive and process electronic invoices.
Government entities in Norway are required to utilise Peppol to facilitate its e-invoicing obligations, including using the Peppol BIS format for both domestic and cross-border business and sending invoices through the Peppol eDelivery network.
The use of Peppol in Norway
Ireland joined the OpenPeppol association on 18 January 2018.
The country’s Office of Government Procurement (OGP) operates the Irish Peppol Authority, which is responsible for registering companies wanting to become a Peppol Access Point or Service Metadata Publisher in Ireland.
Here are the key dates in Norway’s e-invoicing journey.
2011: It became mandatory for central authorities to receive and process e-invoices
2012: It became mandatory for all suppliers of central government entities to send e-invoices
1 April 2019: A regulation relating to e-invoicing in public procurement was passed, making it mandatory for public contracting authorities to be able to receive and process e-invoices
2020: A monitoring system is implemented to track the use of electronic invoices with both central and non-central public authorities
16 January 2025: Norway’s Ministry of Finance launches study into the introduction of mandatory e-invoicing for B2B transactions
Setting up e-invoicing in Norway with Sovos
Norway appears to have more e-invoicing requirements on the way, and it’s not the only country to be evolving existing regulations and devising new rules. Compliance can be hard, especially when conducting business in multiple countries.
Sovos harmonises the fragmented nature of e-invoicing (with every country having its own obligations) by providing you with a single vendor for complete invoicing and tax compliance.
Choosing Sovos means choosing to reclaim your time and headspace.
It is mandatory for e-invoices to be issued for B2G transactions in Norway, but there is no requirement to issue and receive invoices electronically in a B2B context.
In a previous blog, we provided an overview of the current and proposed natural disaster-related measurements in some European countries and Australia. In this blog, we will focus on the possible EU-level solution proposed by the European Central Bank (ECB) and the European Insurance and Occupational Pensions Authority (EIOPA) in their latest discussion paper, issued in December 2024.
The proposal, as was also in the case of their discussion paper from April 2023, focuses on the growing “insurance protection gap” in Europe. It highlights that Europe is the fastest-warming continent in the world. If we look back at only the last six months, there were at least three severe climate-related catastrophes in Europe: Portugal wildfires and the Spanish and the Czech Republic Floods.
Among other significant economic consequences of the increasing frequency and severity of natural catastrophes, we need to highlight the impact of these events on insurance businesses and indirectly on the taxation of the insurance premium amounts.
The paper summarises 12 existing national natural catastrophe insurance schemes which we are going to brief in our blog series – adding the current tax treatment of these schemes. In this blog, we provide an overview of the EU-level solutions as proposed by the paper and a summary of the approaches followed by the EU countries.
Proposal for the possible EU-level solution
A two-pillar solution was included in the referenced document. The two pillars are:
EU public-private reinsurance scheme: This would not substitute the national level reinsurance schemes, it would be additional. This scheme would be voluntary and financed by risk-based premium amounts. The aim of this pillar is to increase the insurance coverage of the natural catastrophe risk where insurance coverage is low.
EU fund for public disaster financing: This second pillar would be made compulsory and aims to finance rebuilding efforts after a high-loss natural disaster. Contributions from member states would finance this.
Both of these pillars could potentially affect the amount of tax payable by the insurance companies on the collected premium amounts. The first pillar might indirectly increase the tax amount levied on the reinsured premium amount, such as in the case of France CCR (Caisse Centrale de Réassurance), where IPT (and contributions to the Major Risk Prevention Fund) is due on the CATNAT premium. The second pillar may trigger newly introduced contributions that might be levied on the insurance premium amounts.
Summary of the national level approaches
The current national schemes aim to broaden insurance coverage. Some countries, like Italy most recently, make certain natural catastrophe risks such as earthquakes, floods and landslides compulsory to be insured by either or both entities or individuals.
In other cases, compulsory reinsurance involving public-private sector coordination exists. The most well-known reinsurance system exists in France, the so-called CCR. However, there is a reinsurance system in Iceland, where insurers collect CATNAT premium amounts and pay them towards NTI (Icelandic Natural Disaster Insurance).
It remains to be seen the extent to which the proposals are acted upon and the impact that they may have on premium taxation regimes in the EU. As it is such a significant topic in insurance currently, Sovos will be keeping a close eye on developments in this area.
Ireland E-invoicing
Ireland gave electronic invoicing the same legal weight as paper invoices in 2013. Since then, there have been no major developments regarding mandating e-invoicing in the business-to-business space.
Nevertheless, as part of the European Union, Ireland will soon need to work on implementing the European VAT in the Digital Age (ViDA) initiative, which aims to introduce mandatory e-invoicing and real-time reporting for cross-border transactions by July 2030.
This page details Ireland’s current stance on e-invoicing. Be sure to bookmark the page to stay in the know with any future developments.
There is no mandate for issuing and receiving electronic invoices for B2B transactions in Ireland.
Irish businesses can issue and receive electronic invoices and must consider the following legal aspects when implementing e-invoicing in the country:
Obtaining the consent of the buyer to send an electronic invoice.
Ensuring integrity and authenticity – any means are accepted, from internal process controls up to electronically signing the e-invoices.
Retention – e-invoices must be stored in such a way as to guarantee their integrity, authenticity and availability during the retention period. The retention period for electronic invoices is six years from invoice date.
The country’s tax authority is looking to modernise its VAT system. In late 2023, it launched a public consultation to understand how organisations feel about digitally transforming tax processes and proposed imposing a mandate for e-invoicing and real-time reporting when transacting domestically. The key driver of the consultation was the ViDA initiative.
Through the public consultation, the Irish tax authority managed to gather valuable insights from more than 1,000 businesses, aiming to use them in the design and implementation strategy phase.
With the final approval of ViDA Ireland will be able to impose mandatory e-invoicing in the country without the currently needed formal authorisation from the EU.
B2G e-invoicing in Ireland
While it is mandatory for central authorities, regional authorities and local authorities in Ireland to receive and process e-invoices, it is currently optional for suppliers to send electronic invoices.
The preferred national format for e-invoicing is Peppol BIS, but public administrations have defined their own format known as CIUS-CEFACT.
The Irish government encourages public sector organisations to utilise the Peppol framework when receiving e-invoices from suppliers.
The use of Peppol in Ireland
Ireland joined the OpenPeppol association on 18 January 2018.
The country’s Office of Government Procurement (OGP) operates the Irish Peppol Authority, which is responsible for registering companies wanting to become a Peppol Access Point or Service Metadata Publisher in Ireland.
1 January 2013: E-invoices are given same legal weight as paper invoices
18 April 2020: All public authorities can receive Peppol e-invoices via the Peppol eDelivery Network
13 October 2023: Ireland launches public consultation on e-invoicing and real-time reporting requirements
1 July 2030: Irish businesses need to comply with VAT in the Digital Age requirements (mandatory e-invoicing and e-reporting for cross-border B2B transactions)
1 July, 2030: Irish VAT-registered businesses must comply with VAT in the Digital Age (ViDA) requirements, which include mandatory e-invoicing and digital reporting for Intra-Community B2B transactions.
Setting up e-invoicing in Ireland with Sovos
It seems inevitable that mandatory e-invoicing will arrive in Ireland. When that time comes, it’s important that your organisation is prepared for your new obligations.
Any new mandates only add to your compliance burden, with e-invoicing requirements being fragmented and unique to each country. Ensure you comply with your obligations, everywhere you do business, by working with Sovos.
Choosing Sovos means choosing a single vendor for all of your tax compliance needs.
Ireland does not mandate the use of electronic invoices. Public sector organisations must be able to receive e-invoices, but suppliers can choose whether or not to issue such documents electronically.
There are no officially announced dates for introducing mandatory e-invoicing or real-time reporting in Ireland. However, as part of the European Union, the country needs to implement the ViDA initiative by July 2030 and can start mandating e-invoicing as soon as ViDA is approved.
Singapore is on the brink of a significant transformation in its tax reporting landscape. The Inland Revenue Authority of Singapore (IRAS) has announced a phased adoption of InvoiceNow, the national e-invoicing framework based on the PEPPOL network, set to commence voluntarily for GST-registered businesses in May 2025.
