E-Invoicing Mandate 2025/2026: What Businesses Must Do

The e-invoicing mandate in brief

Since 2025, the e-invoicing mandate has fundamentally changed how businesses exchange invoices in Germany. In business-to-business dealings between domestic companies (B2B), the classic paper or PDF invoice will no longer be sufficient going forward – step by step, the structured electronic invoice is becoming the standard. This article puts the key deadlines into context, explains the permitted formats, and shows how to prepare in practical terms. It does not replace legal or tax advice; for specific questions, you should involve your accountant.

The obligation to receive has applied since January 1, 2025

Since January 1, 2025, all domestic companies in the B2B sector have been required to be able to receive and process electronic invoices. This obligation to receive applies regardless of company size and without any transition period. In concrete terms, this means: if a business partner sends you an e-invoice, you must be able to accept it, read its data, and store it properly. In practice, this means you should be able to reliably accept incoming e-invoices and process the data they contain in a structured way.

Transition periods for sending

Staggered transition periods apply to sending invoices:

• Until the end of 2026, you may continue to send paper or simple PDF invoices, provided the recipient agrees.
• From 2027, sending electronic invoices becomes mandatory for companies with high prior-year revenue.
• From 2028, the obligation to send applies in principle to all domestic companies in the B2B sector.

Even though the mandatory sending obligation only takes effect later for many businesses, an early switch is worthwhile – if only because your business partners are allowed to send you e-invoices at any time.

What is an e-invoice – and what is not?

A common misconception: a PDF document sent by email is not an e-invoice within the meaning of the new rules. An e-invoice is a structured data record that software can process automatically – not a mere image and not a scanned document. It is precisely this structure that enables seamless, end-to-end processing without media breaks, from sending all the way to booking.

Permitted formats: XRechnung and ZUGFeRD

Two formats are established in Germany, both of which comply with the European standard EN 16931:

• XRechnung: a pure XML format that contains only structured data.
• ZUGFeRD: a hybrid format that combines a PDF/A-3 file with embedded XML – human-readable and machine-processable at the same time.

Which format is right for you depends, among other things, on your recipients' requirements. XRechnung delivers pure structured data, while ZUGFeRD remains human-readable at the same time thanks to the additional PDF view. It is therefore best to clarify with your most important business partners which format they expect.

How to prepare for the e-invoicing mandate

To ensure the switch goes smoothly, a few points make sense:

• Make sure you can reliably receive and read incoming e-invoices.
• Check your master data – complete addresses and correct tax details are a prerequisite for standard-compliant invoices.
• Clarify which format your most important business partners expect.
• Ensure GoBD-compliant, traceable archiving of your invoices.

Creating and receiving e-invoices with Stella Workspace

Stella Workspace supports you with the key steps of the e-invoicing mandate – without an additional specialized solution.

Create standard-compliant invoices

From an existing quote or order, you create a standard-compliant e-invoice in the XRechnung or ZUGFeRD formats in line with EN 16931 with just a few clicks. You don't have to enter the data twice – the existing details are carried over.

Check before sending

So that an invoice doesn't fail due to a missing mandatory field, Stella checks the mandatory details – such as the complete buyer address – before sending. Missing details are flagged clearly, so you can add them right away.

Receive and extract automatically

Stella accepts incoming e-invoices and automatically extracts the data they contain. This eliminates manual entry and reduces transfer errors.

Archive in a GoBD-compliant way

All invoices are archived in a GoBD-compliant way – an important building block for proper retention. Hosting takes place in Germany, and processing is designed for GDPR compliance.

Conclusion

The e-invoicing mandate is not a distant future issue: the obligation to receive already applies, and the obligation to send is arriving in stages through 2028. Those who tackle the switch early avoid time pressure and benefit from leaner processes. Please note that this article provides information based on the current state of affairs and does not constitute legal or tax advice.

Find out on our page about the e-invoice how to create, check, and receive standard-compliant invoices – or request a demo and see the process live.