The Latvian parliament approved amendments to the Accounting Law, mandating the use of structured electronic invoices for transactions involving goods and services. The implementation timeline is as follows:
-
1 January 2025: obligation to issue structured e-invoices in B2G transactions (to the budget institutions)
-
1 January 2026: obligation to issue structured e-invoices in B2B transactions
The MoF announced their plans to develop a decentralized CTC e-invoicing model by allowing three invoice exchange methods, via the tax authority solution, PEPPOL, or via any method agreed upon between the parties (e.g. email or direct integration).
The next step for the Government is to work on specific regulations for e-invoicing procedures and all the regulatory framework in the following months.
This legislative change aims to enhance transparency, streamline accounting processes, and combat tax fraud in Latvia.
