Last modified on 2025-07-29 in Countries
OASIS UBL 2.1, CII
Servis eRačun za Državu
Finansijska Agencija (FINA)
Centralized/Peppol
2019
2025
11 years
Croatia is joining the growing number of EU countries implementing mandatory e-invoicing as part of its ambitious Fiscalization 2.0 initiative. Following the successful implementation of B2G e-invoicing in 2019, Croatia is now extending mandatory electronic invoicing to all B2B transactions starting January 1, 2026. This comprehensive transformation signals Croatia's commitment to building a modern, secure, and transparent business environment that goes beyond earlier EU requirements.
Croatia will require all VAT-registered businesses to use mandatory B2B e-invoicing from 1st of Jan 2026, as part of its Fiscalization 2.0 initiative. This move aims to modernize business processes, reduce errors, and ensure greater transparency. Companies must upgrade their systems, implement digital signatures, and train staff to avoid penalties and benefit from faster, more efficient invoicing. Early preparation will help businesses transition smoothly and gain a competitive advantage in Croatia’s digital economy.
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As of July 2025, Croatia is finalizing its transition to mandatory B2B e-invoicing, with public consultations held in early 2025 and draft legislation expected by September 2025. The government is also considering expanding e-invoicing requirements to B2C transactions in the future, aiming for a fully digital invoicing environment. Businesses are urged to prepare now to comply with new technical and legal standards and avoid significant fines.
E-invoicing is the electronic exchange of invoices in a standardized digital format, replacing traditional paper invoices with secure, automated processes that integrate directly with accounting systems.
By adopting e-invoicing, Croatian businesses can save costs, improve cash flow management, and comply with evolving tax regulations, while supporting environmental sustainability through reduced paper use.
E-commerce businesses, in particular, can benefit from automated invoicing solutions, which simplifies compliance and speeds up invoice processing.
Croatia's e-invoicing mandate aligns with European Union Directive 55/2014/EU, which requires all member states to modernize their invoicing systems for improved speed, security, and cross-border efficiency. By adopting the European standard EN 16931 and utilizing formats like UBL 2.1, Croatia ensures seamless integration with other EU countries.
The Croatian Standard Institute and FINA have collaborated to adapt EU requirements to local needs while maintaining full compatibility. Every e-invoice uses digital signatures to confirm authenticity and prevent fraud, building trust between businesses and public institutions across borders.
1 December 2018 - Mandatory to receive and process e-invoices for all public authorities for purchases below 200,000 HRK (approx. 26,500 EUR).
1 July 2019 - Mandatory issuance of e-invoices for all public entities and their suppliers.
February-March 2025: Public consultation period
September 1, 2025: E-invoicing becomes mandatory for VAT-registered businesses in B2B transactions
Beginning January 1, 2026, all VAT-registered taxpayers, along with companies, freelancers, government agencies, local authorities, and certain budget users not registered for VAT, must receive e-invoices.
Then, starting January 1, 2027, these same groups will also be required to issue e-invoices.
Companies that prepare early, learning from successful implementations in countries like Germany and Italy, experience smoother transitions and realize cost savings more quickly.
Adopt DDD Invoices for a smoother, smarter transition to Croatia’s e-invoicing era.
The Act on eInvoicing in Public Procurement which was transposed from Directive 55/2014/EU, began B2G e-invoicing in Croatia for suppliers to government bodies.
Through the central platform FINA (eRačun), which is connected to the Peppol network, entities can comply with the Croatian tax administration's requirements.
Since its implementation in 2019, over 22 million invoices have been exchanged through eRačun by May 2023.
Invoice senders can use the recommended OASIS UBL 2.1 XML format which is based on the Peppol BIS 3.0 standard or the Cross-Industry Invoice (CII) format.
In addition to e-invoicing, Croatia is advancing its Fiscalization 2.0 program, which integrates real-time tax reporting and fiscal control into the e-invoicing process. This reform requires that invoice data for B2G transactions be transmitted in real time to the Croatian Tax Administration for validation and monitoring.
Fiscalization ensures enhanced transparency, improved VAT compliance, and reduces tax evasion risks.
Croatia is set to make B2B e-invoicing mandatory starting January 1, 2026, under the newly approved Fiscalization Act published in June 2025. A testing phase begins in September 1, 2025, allowing businesses to prepare their systems and ensure compliance.
Croatia’s Fiscalization 2.0 is more advanced and different compared to other countries:
When an invoice is issued, the issuer must fiscalize (register) the document with the Tax Administration first.
Then, the invoice is sent in e-invoice format to the recipient.
The recipient must also fiscalize the invoice upon receipt, effectively creating a two-step fiscalization process.
This dual fiscalization ensures real-time reporting, high transparency, and reduces tax evasion risks.
FINA will offer an integrated platform solution assisting businesses with fiscalization and e-invoicing, accessible via certified e-invoicing providers or directly through the FINA system.
Non-VAT registered entities must be able to accept e-invoices from 2026 and will be required to issue them starting January 1, 2027.
Since 2013, Croatian businesses have been required to report transactions to the fiscalization system when payments are made by cash, credit card, or check, as regulated by the Zakon o fiskalizaciji u prometu gotovinom (Law on Fiscalization in Cash Transactions).
The new Fiscalization Act, published on June 13, 2025, expands the fiscalization obligation to include online payments such as bank transfers, Google Pay, PayPal, and other electronic payment methods. This means that all B2C transactions, regardless of payment type, must be reported in real time through the fiscalization system using the same clearance model that applies to cash and card payments.
Croatia’s e-reporting system is part of the Fiscalization 2.0 reform, requiring real-time electronic submission of invoice data for B2B and B2G transactions starting January 1, 2026 as per the new law . This includes detailed reporting of payment terms, product codes, and bank details through the government’s e-Račun platform.
This reporting will utilize a decentralized Continuous Transaction Control (CTC) exchange model. Additionally, only electronic invoices will be allowed for these transactions, eliminating the use of paper invoices.
SAF-T (Standard Audit File for Tax), Croatia has not yet implemented SAF-T as a mandatory reporting format. Instead, the focus is on continuous real-time e-reporting of transactions via the fiscalization system, which serves similar audit and compliance purposes.
If businesses don’t follow Croatia’s e-invoicing rules, the consequences can be serious.
Invoice-related fines can range from €260 up to €66,360 for late or missing invoices.
Storing invoices outside Croatia without permission can lead to fines up to €26,540.
Using the wrong invoice format or missing required digital signatures can result in extra penalties and more government scrutiny.
There are also penalties related to VAT. Late VAT registration can cost between €140 and €26,700. Delays in paying VAT may incur a 12% annual interest charge on the unpaid amount. Failing to report invoices in real time can lead to fines as high as €500,000.
Beyond fines, businesses may face more frequent audits, disruptions to their operations, loss of eligibility for government contracts, and damage to their reputation.
Complying with the rules is not just a legal obligation, it helps protect your business from costly setbacks and maintain trust with clients and regulators.
DDD Invoices makes it easy for businesses in Croatia to comply with the new Fiscalization 2.0 e-invoicing rules. Our service connects directly to Croatia’s Tax Administration (Porezna) and the national e-invoicing platform (eRačun), ensuring seamless submission, signing, reporting, and secure storage of invoices.
You can use one simple API to send, sign, report, and safely store invoices, so your business stays compliant with Croatia’s Fiscalization 2.0 and EU laws.
With DDD Invoices, you don’t need to worry about the technical side of e-invoicing. You can focus on running your business while we handle compliance.
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Mandatory B2B e-invoicing for all VAT-registered businesses in Croatia begins on January 1, 2026. Non-VAT registered businesses must comply starting January 1, 2027.
E-invoices must follow the European standard EN 16931 and use formats like UBL 2.1 XML or PEPPOL BIS 3.0 to ensure compliance and interoperability with tax authorities.
Non-compliance can result in significant fines, increased audits, disrupted business operations, and potential exclusion from government contracts. Penalties range from several hundred to hundreds of thousands of euros depending on the violation
Written by the Compliance team
Reviewed by Denis V. P.
DDD Invoices is an enterprise-grade platform delivering a powerful infrastructure for creating, sending, receiving and storing electronic documents. DDD Invoices enables software providers like ERPs, SaaS, eCommerce, POS systems, accounting & invoicing softwares, billing services and others, to easily adhere to global invoicing compliance requirements and shorten their time-to-market.