From January 1, 2025, all German businesses must be able to receive structured electronic invoices for B2B transactions. By January 1, 2027, it will also become mandatory to issue e-invoices in structured formats. To stay compliant, companies must adopt formats such as XRechnung or ZUGFeRD. Are you prepared?
Understanding XRechnung & ZUGFeRD
XRechnung is the official XML-based format for B2G transactions in Germany. This structured digital format ensures automated processing, reducing errors and manual effort. ZUGFeRD combines structured XML data with a PDF/A-3 file, making it machine-readable and easy for humans to read. It’s ideal for B2B transactions and aligns with European e-Invoicing standards (EN 16931).
Why it matters
Standardized e-invoicing brings several benefits:
- Error reduction and compliance: Minimizes manual data entry, ensuring accuracy and regulatory adherence.
- Seamless ERP integration: Automates invoice validation and processing within your ERP and financial systems.
- Efficiency and cost savings: Accelerates approval and payment cycles, reducing administrative costs.
- Scalability and international trade: Ensures compatibility with EU e-Invoicing standards for smooth cross-border transactions.
What to expect from 2025 to 2027
To comply with Germany’s phased e-invoicing mandate:
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2025: You must be able to receive structured e-invoices.
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2027: Sending structured e-invoices becomes mandatory for B2B.
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Formats only: Paper and unstructured PDF invoices will no longer be accepted for B2B.
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Limited exemptions: Applies mostly to B2B; B2C, tax-exempt sectors, and low-value transactions under €250 may be excluded.
Streamline your e-invoicing with Routty
Use a platform to make your digital transformation as smooth as possible. Routty simplifies compliance with German and EU e-Invoicing standards, and also beyond that matter. With the Routty platform, you can:
- Send and receive invoices in XRechnung, ZUGFeRD, and other compliant formats.
- Convert documents into the correct format for seamless processing.
- Automate invoice management within your ERP or financial systems.
- Archive invoices securely in line with legal retention requirements.
- Utilize PEPPOL and EDI channels for reliable cross-border invoicing.
Download our datasheet to learn how modern e-Invoicing standards can transform your invoicing processes: Download here
