No – the European Union's VAT in the Digital Age, or ViDA, package does not impose a general obligation for all companies to submit domestic B2B invoices as e-invoices from 2028. ViDA action schedule provides for VAT rules for short-term accommodation and ride-hailing platforms and a reform of the single VAT registration system, not an obligation for e-invoices, on 1 July 2028. The confusion arises from the fact that Latvia has its own in the Accounting Act has just set a deadline of January 1, 2028 for converting domestic B2B invoices to structured e-invoices. This is a domestic decision of Latvia, not a ViDA requirement. There is currently no such general deadline in Estonia.
Does ViDA give Member States a right or an obligation?
From the entry into force of ViDA on 14 April 2025, it provides: Article 218 of the amended VAT Directive, that Member States may require taxable persons established in their territory to issue electronic invoices for supplies of goods and services within their territory, except in the cases referred to in Article 262. This is a national choice, not an obligation. Brussels will not impose a domestic electronic invoice obligation on anyone by 2028, as confirmed by ViDA overview.
What actually comes into effect on July 1, 2028?
On this date, three VAT-related changes will come into effect, not the rule related to the invoice format: new VAT rules will come to platforms (short-term accommodation and transport), Single VAT Registration will be expanded, and a mandatory reverse charge will apply to unregistered suppliers. This is how it describes European Commission ViDA overview. The obligation to convert invoices to e-invoices is not mentioned at this date. The overlap with the Latvian deadline is a coincidence, not a connection.
Why does Latvia still have a deadline of January 1, 2028?
The Latvian Saeima changed its Accounting Act on October 31, 2024 and further specified it on June 5, 2025. According to the law, an invoice submitted by one company registered in Latvia to another company registered in Latvia for payment must be prepared as a structured e-invoice, i.e. in a machine-readable format that complies with European e-invoice standard LVS EN 16931-1:2017. The obligation will enter into force on 1 January 2028 and from the same date e-invoice data must also be transmitted to the State Revenue Service (VID). Exceptions include: for example, transactions documented with a cash register, certain health and employment system invoices and security sector documents will remain law out of the obligation. For transactions between the state, local government and companies (G2G, B2G, G2B), submitting e-invoice data to the VID is already mandatory. From 1 January 2026. If your company sells goods or services to another company registered in Latvia, this deadline directly affects you.
What logic applies in Estonia?
There is no general e-invoice deadline for domestic B2B invoices in Estonia. Accounting Act stipulates that from 1 July 2025, an accounting entity listed in the commercial register as the recipient of an e-invoice may require the seller to submit an e-invoice. The requirement is initiated by the recipient, not by the state. An invoice that complies with the EN 16931-1 standard is considered correct in law, but the parties may also agree on a different format. If your customers do not require an e-invoice from you, you do not need to change anything at this time.
What will change on July 1, 2030?
From this date onwards ViDA digital reporting requirements concern cross-border B2B transactions within the European Union and are based on e-invoices. The amended VAT Directive makes e-invoicing default format, but Member States may still allow paper invoices or other electronic formats for domestic transactions that fall outside the EU's digital reporting rules.
FAQ
Will ViDA make e-invoices mandatory in 2028?
No, ViDA does not impose a general obligation. Latvia has set a deadline of January 1, 2028 for the conversion of domestic B2B invoices to e-invoices by its law.
What actually comes into effect on July 1, 2028?
Three VAT-related changes will be implemented on this date: platform VAT rules, single VAT registration and mandatory reverse charge. There is no obligation for e-invoices on this date.
Why does Latvia have a deadline of January 1, 2028?
Latvia amended its accounting law to require all B2B invoices to be submitted as structured e-invoices from January 1, 2028. This is a domestic decision, not a ViDA requirement.
What logic applies in Estonia?
There is no general deadline for e-invoices in Estonia. Starting from 1 July 2025, a company listed in the commercial register as the recipient of an e-invoice may require the seller to submit an e-invoice, but this is the recipient's, not the state's, initiative.