Adoption of E-Invoicing in Finland (B2B E-Invoice)

Finland takes a digital leap with the "A Strong and Committed Finland" program, announcing the upcoming digitalization of tax collection. The Finnish government has also implemented e-invoices in the public sector and for B2G transactions due to EU Directive 55/2014/EU and VAT in the Digital Age (ViDA) proposal according to EN 16931.

Finland's focus on Finvoice and TEAPPSXML formats streamlines invoicing for B2B transactions, while network-based e-invoicing through third-party networks like DDD Invoices brings automation and cost reduction. Additionally, the country's Nordic Smart Government (NSG) program promotes electronic invoicing and aims to automate financial data exchange among businesses in Scandinavia.

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As a result of the “A Strong and Committed Finland” program, the Finnish government announced on 16 June 2023 that tax collection will be digitalized in the near future.

Finnish Timeline for E-Invoices

• April 2019: E-invoicing is required at the federal level.

• April 2021: Option to demand EU-standard electronic invoices from B2B suppliers and implementation of B2G e-invoicing.

Finvoice and TEAPPSXML

In Finland, electronic invoices sent to the public administration can adhere to the Finvoice and TEAPPSXML standard formats, both of which have been upgraded to version 3.0 to align with the European standard. The Finvoice format is especially prevalent for B2B invoicing in the country, as specified in Law 241/2019.

B2B E-Invoicing

Finland has yet to implement B2B e-invoicing for its taxpayers. Although it has a 92% adoption rate, it is reluctant to make it mandatory before 2028 due to the risk of decreasing opportunities for innovation.

It is possible for businesses that have an annual turnover of over €10,000 to request an e-invoice from B2B suppliers from April 2020 onward.

Network-Based E-Invoicing

In Finland, network-based e-invoicing involves businesses using a third-party network, such as DDD Invoices, to exchange invoices electronically. They support various invoice transmission methods, including web portals, email, and direct integration with accounting software.

This popular invoicing method utilizes third-party networks to exchange invoices with partners, enabling automation, billing standard compliance, and seamless integration with accounting and ERP systems. It streamlines processes, cuts costs, and boosts efficiency for businesses.

Nordic Smart Government (NSG)

The Nordic Smart Government (NSG) programme in Scandinavia encourages the use of electronic invoicing. The Finnish Patent and Registration Office (PRH), along with the Ministry of Finance and the Tax Authorities, is in charge of the NSG project in Finland. The NSG project aims to automate the exchange of financial data among businesses in Scandinavian nations.

Finnish Peppol Network

The Peppol network serves as the foundation for the Finnish e-invoicing system. Since there is no central platform, companies can send and receive invoices using any e-invoicing program compatible with the Peppol network.

The Peppol BIS Billing 3.0 format is also expected to be implemented in the future to align with other European countries.

Upcoming Real-Time Reporting and B2B E-Invoicing

There is no real-time reporting requirement, but the Finnish Real-Time Economy project is moving towards B2B e-invoicing and real-time reporting in the near future.

DDD Invoices: a Certified Peppol Access Point

Want to connect to Peppol but don't know how? Here are the benefits of choosing DDD Invoices as your Peppol Access Point:

• Unlock the ability to send and receive e-documents worldwide, without worrying about local compliance issues. Through our API, we automatically fill in your invoice data and send the invoice to the proper authorities, letting you focus on your core business processes and we manage the bureaucracy.

• Seamlessly integrate into your current invoicing system, ERP or CRM in as little as one day. Enjoy an error-free and automated invoicing process through our secure and reliable service.

FAQs about E-invoicing in Finland