Fiscalization and Real-Time Reporting in Madagascar

Madagascar has established the legal framework for a central fiscalization and transaction-reporting system. Taxpayer implementation will be phased after the DGI platform is established, while EBM and real-time reporting capabilities are still being developed. 

The mandate will be implemented in phases once the system is operational: large enterprises must comply no later than six months, medium-sized enterprises have up to one year, and small taxpayers and micro-enterprises have up to two years. Businesses must generate and retain compliant fiscal documents through the system; DGI’s framework also links fiscalized transaction data with VAT administration, including the production of pre-filled VAT-return information for VAT taxpayers.

Latest fiscalisation news in Madagascar

The latest confirmed official development in Madagascar’s fiscalisation framework is Decree No. 2025-738-PR of 25 July 2025, which operationalises the tax authority’s e-Facturation system. The decree sets the rules for generating, validating, transmitting, and retaining electronic fiscal documents, as well as the phased rollout timetable for large, medium, small, and micro-enterprises.

Separately, on 18 September 2025, Madagascar’s Directorate General of Taxes announced that SAFI is part of Madagascar’s broader tax-administration digitalisation programme, but the available announcement does not confirm that it is the operational platform for fiscalization or EBM reporting. 

What does fiscalization mean in Madagascar?

In Madagascar, fiscalisation means generating and managing transaction documents through the tax administration’s online e-Facturation system. Taxpayers required to issue regular invoices must use the system to produce compliant fiscal documents subject to any statutory exception and the framework covers transactions whether they are VAT-taxable, VAT-exempt, or outside VAT scope. 

Madagascar is developing an Electronic Billing Machine (EBM) model as part of its wider fiscalization programme. In March 2026, the Madagascar DGI and Rwanda Revenue Authority signed a cooperation agreement covering technology transfer, software, expertise and capacity building for EBM implementation. 

Legislation timeline

• 11 June 2024: Law No. 2024-003 introduced Madagascar’s online e-Facturation fiscalisation system for transactions.
• 18 December 2024: Law No. 2024-025 retained the e-Facturation requirement in the 2025 tax framework.
• 25 July 2025: Decree No. 2025-738 set the detailed rules for the system, including use, document security, validation, and retention.
• Phased rollout: Compliance begins within six months for large enterprises, one year for medium-sized enterprises, and two years for small taxpayers and micro-enterprises after the platform launches.

Who does fiscalization in Madagascar affect?

Fiscalisation in Madagascar affects taxpayers that are required to issue regular invoices for their business activities. This includes companies and other persons making taxable, exempt, or non-VAT supplies, because the framework covers both VAT e‑invoices (e‑facture TVA) and electronic invoices for transactions outside the VAT scope.

In practical terms, the requirement is relevant to businesses that sell goods or provide services and must document those supplies with invoices. The applicable rules may distinguish between VAT invoices and non‑VAT invoices, while any exemptions or special treatment must be specifically provided for in the legislation or implementing regulations.

Implications and penalties for non-compliance

Businesses within Madagascar’s e-Facturation scope must use compliant fiscal documents. Documents issued outside the required system, or documents that fail requirements for authenticity, integrity, security, and traceability, may be treated as non-compliant for tax purposes.

The e-Facturation decree does not set a separate fixed penalty for every breach, general penalties under the Tax Procedures Code may apply, including administrative fines, reassessments, and penalties for inaccurate or fictitious transactions. A fictitious transaction can attract a 40% penalty, subject to a minimum of MGA 1,000,000, without excluding further fraud proceedings.

Your partner for fiscalization in Madagascar

Preparing for Madagascar’s e-Facturation framework means ensuring billing systems can generate compliant electronic documents, maintain accurate transaction data, and retain a secure audit trail. Businesses should also assess whether their ERP, POS, accounting, or billing software can support the required tax-authority workflows as the mandate is phased in. 

DDD Invoices helps software providers and businesses connect invoicing workflows with local compliance requirements through one API-first platform. It can transform standard invoice data into locally compliant fiscal documents, support document retention and invoice archiving, and integrate with ERP, CRM, accounting, and POS environments helping teams prepare for Madagascar’s e-Facturation requirements without disrupting daily operations.

FAQs

Is fiscalization mandatory in Madagascar?

Yes. Madagascar has adopted an enacted framework with phased implementation based on the tax authority’s e-Facturation system. Taxpayers required to issue regular invoices must use the system unless a specific legal exception applies. Implementation will be phased in after the platform becomes operational.

What is the e-Facturation system?

e-Facturation is Madagascar’s tax-authority framework for creating, managing, validating, and retaining fiscal documents electronically. It is designed to provide the Directorate General of Taxes (DGI) with standardized transaction data for tax administration and fiscal controls.

How long must fiscal documents be retained?

Businesses generally must retain issued and received electronic fiscal documents for 10 years in a readable and secure electronic format. Taxpayers under the simplified-tax regime have a shorter retention period of three years.

Which transactions are covered?

The framework applies to transactions documented by taxpayers subject to the ordinary invoicing obligation. It covers VAT-taxable transactions, VAT-exempt transactions, and transactions outside the scope of VAT, subject to the applicable legal rules and exceptions.