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.

1. B2B e-invoicing in Denmark

2. B2G e-invoicing in Denmark

3. The use of Peppol in Denmark

4. Timeline of e-invoicing adoption in Denmark

5. Setting up e-invoicing in Denmark with Sovos

6. FAQ

7. Additional resources

B2B e-invoicing in Denmark

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.

Learn more about Peppol e-invoicing.

Timeline of e-invoicing adoption in Denmark

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.

Get in touch with us

FAQ

Is e-invoicing mandatory in Denmark?

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.

What e-invoice formats must digital bookkeeping systems accept?

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.

Additional resources