B2G e-invoicing in the Netherlands

The Netherlands doesn’t have any strict e-invoicing mandates yet. Across Europe, more and more countries are turning to e-invoicing to make their tax systems faster and smarter. In the Netherlands, e-invoicing has been mandatory for B2G transactions since 2017, and they are planning to make B2B mandatory from 2025. 

The Dutch government has already made e-invoicing compulsory for all B2G transactions to ensure efficiency and transparency. Suppliers to public authorities must send invoices in a structured format, using standards such as Peppol BIS 3.0 or the Dutch SI-UBL. While B2B e-invoicing is still voluntary for now, the Netherlands is preparing for upcoming EU rules under “VAT in the Digital Age”.

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In May 2025, the Nederlandse Peppolautoriteit (NPa) introduced updated rules for e-invoices sent through Peppol to keep them fully aligned with the European EN 16931 standard. These updates will become mandatory later in 2025 and are meant to make the e-invoicing process smoother and more reliable for both businesses and government bodies.

Earlier in January 2025, the NPa also addressed an issue where some invoices were accidentally sent more than once by a service provider. The authority fixed the problem and put stricter controls in place to prevent similar errors, ensuring that e-invoicing remains secure and well-managed across the Netherlands.

What is e-invoicing and why is the Netherlands adopting it?

E-invoicing is the process of sending, and receiving invoices in a structured digital format, moving away from traditional paper or PDF invoices.  This method allows invoices to be exchanged automatically between systems, reducing manual errors, saving time, and improving overall efficiency.

In the Netherlands, this transition is part of a broader initiative to modernize public administration, enhance tax compliance, and align with EU Directive 2014/55/EU, which establishes the European e-invoicing standard (EN 16931). 

The Dutch Ministry of Finance and the Tax and Customs Administration (Belastingdienst) see narrowing the VAT gap as an important priority. According to the European Commission’s 2023 VAT Gap Report, the Netherlands has one of the strongest records in Europe, even registering a small negative gap of 0.2% in 2021. The goal is to enhance financial transparency and streamline reporting through structured e-invoicing and data reporting systems.

Why has the Netherlands delayed implementation of mandatory e-invoicing?

The Dutch government had the idea of introducing mandatory B2B e-invoicing earlier, but no official date was ever set. For now, B2B e-invoicing in the Netherlands remains voluntary. What is certain, however, is that under the EU’s VAT in the Digital Age (ViDA) package, structured e-invoicing will become mandatory for all cross-border B2B transactions starting 1 July 2030.

To prepare, the Netherlands has launched policy consultations to see whether the same obligation should also apply to domestic B2B transactions. Any legislation is expected to be introduced well in advance, giving businesses time to adapt their systems before the EU deadline.

Legislation timeline

B2G (Business-to-Government) Timeline:

• January 1, 2017 – Central government agencies in the Netherlands began requiring suppliers to submit invoices electronically for all new procurement contracts.
  
• April 18, 2019 – The implementation deadline for B2G e-invoicing for all public authorities in the Netherlands was set, following the transposition of EU Directive 2014/55/EU into national law.
  
  

B2B (Business-to-Business) Timeline:

• 2025 – No legal mandate exists for B2B e‑invoicing in the Netherlands. Businesses can voluntarily issue structured e‑invoices
  
• July 1, 2030 – EU-wide requirement for all businesses to be able to receive e-invoices, as part of the VAT in the Digital Age (ViDA) initiative.
  
  

B2C (Business-to-Consumer) Timeline:

• No current mandate – There is no legal requirement for businesses to issue e-invoices to consumers (B2C) in the Netherlands. 

B2G (Business-to-Government) Transactions

Since April 18, 2019, all government bodies in the Netherlands from ministries to local councils must be able to receive and process electronic invoices. To support this, the Dutch government uses two main systems, Peppol and Digipoort. These act as secure digital routes for sending invoices in standard formats like UBL and Peppol BIS, which ensures every invoice follows EU rules and can be handled automatically by different systems.

For suppliers, e-invoicing makes the process much faster and more reliable. Payments are usually made within 30 days, as stated in most government contracts, and every transaction is digitally recorded for better tracking and transparency. Overall, the move to e-invoicing has helped the Netherlands cut down on paperwork, reduce errors, and make government payments simpler and more efficient for everyone involved.

B2B (Business-to-Business) Transactions

The Netherlands is preparing to implement mandatory B2B e-invoicing in line with the European Union's VAT in the Digital Age (ViDA) initiative. While the current system allows for voluntary electronic invoicing, the Dutch Ministry of Finance has announced plans to introduce a nationwide mandate by 2030. This initiative aims to standardize and digitize VAT management across the EU, enhancing efficiency and reducing fraud. 

Implementation Strategy:

The Dutch government has outlined a four-phase strategy for the rollout of mandatory B2B e-invoicing:

1. Policy Research: Evaluating regulatory and technical options, and analyzing potential impacts on stakeholders.
2. Legislative Drafting: Preparing the legal framework defining new compliance obligations.
3. Technical Development: Designing and deploying the technological infrastructure for interoperability.
4. Final Implementation: Launching the system, including pilot phases, user training, and adaptation support.

A full B2B e-invoicing mandate is expected later, as the Netherlands gradually aligns with the EU’s “VAT in the Digital Age” (ViDA) initiative. But that’s still some time away. The real changes are likely to come leading up to 2030.

B2C (Business-to-Business) Transactions

As of now, the Netherlands does not mandate businesses to issue structured e-invoices for B2C transactions. Consumers can still receive traditional paper or PDF invoices, and there is no obligation for businesses to report these sales to the tax authority in real time. This approach offers companies flexibility in managing consumer billing while adhering to standard VAT rules.

While not mandatory, businesses may issue B2C e-invoices if the consumer agrees to receive them in structured formats such as UBL-XML or Peppol. The use of certified cash register systems is encouraged to ensure secure and traceable transactions.

Fiscalisation

In the Netherlands, shops, cafes, and other businesses that sell directly to customers need to keep proper records of all their sales for VAT purposes. Unlike in other countries, there isn’t a rule that forces them to use government-certified real-time connected cash register systems. Instead, the responsibility is on the business to make sure every sale is recorded correctly and can be checked by the tax authority if needed.

That means once a sale happens, it should be stored in a reliable way that can’t just be changed or hidden. Many businesses use modern cash register or POS systems to do this, which makes bookkeeping easier and keeps everything transparent.

Non-Compliance Penalties in the Netherlands

If a business in the Netherlands fails to meet VAT invoicing or accounting rules, the Dutch Tax and Customs Administration (Belastingdienst) may impose fines. Under current law, non-compliance with invoicing or accounting obligations can carry penalties of up to €5,278. For late payment of VAT, the law provides for a 3 % surcharge on the unpaid VAT (with a minimum of €50) and, in certain summaries, a ceiling of €5,514.

Starting in 2025, new regulations will introduce an 8-week window for voluntarily correcting errors in VAT returns, failure to comply may lead to additional penalties. To limit risk, businesses should keep their invoicing systems compliant with existing VAT rules, align with EU standards, and proactively monitor developments in digital reporting as e-invoicing mandates evolve.

Your Trusted Partner for E-Invoicing in Netherland

The Netherlands has already made e-invoicing mandatory for businesses working with the government, and B2B e-invoicing will soon follow. We understand that keeping up with new rules and formats can feel a bit confusing and that’s exactly where DDD Invoices comes in.

With DDD Invoices, you can easily send e-invoices that meet Dutch and EU standards without worrying. Our platform supports official formats like Peppol BIS 3.0 and SI-UBL 2.0, so your invoices are always compliant and ready for both government and private clients. It’s a simple, reliable way to save time, reduce errors, and stay ahead of upcoming e-invoicing changes in the Netherlands.

FAQs

Who needs to use e-invoicing in the Netherlands?

Currently, all suppliers to Dutch government entities (B2G) must issue e-invoices. B2B e-invoicing is being gradually introduced in line with EU rules, so businesses working with other companies should prepare to adopt structured formats like Peppol BIS 3.0 or SI-UBL 2.0 in the coming years. Paper or PDF invoices won’t meet compliance requirements where e-invoicing is mandatory.

Do I need special software to send e-invoices?

Yes. You need software that can create e-invoices in the Dutch SI-UBL 2.0 formatand send them through official channels like Digipoort or the Peppol network. Many modern accounting or ERP systems already support this.

What if I make a mistake in my e-invoice?

Most platforms and the Dutch tax authority allow corrections. It’s important to check your invoice before sending, but if an error occurs, you can usually fix it before fines are applied.