What is e-invoicing? : The benefits and process explained

What is e-invoicing? : The benefits and process explained

E-invoicing is game changing for VAT compliance and accurate record-keeping. By automating data capture and standardizing e-invoice formats, businesses can minimize errors and maintain a rock-solid audit trail. This enhanced accuracy reduces the risk of VAT discrepancies and helps businesses stay on the right side of tax regulations while freeing up valuable time for growth-focused activities.

E-invoicing is transforming the way businesses handle invoices, replacing outdated paper trails and clunky electronic invoicing PDFs with sleek, structured, and machine-readable digital formats. Imagine invoices flowing seamlessly between systems, processed in real-time with zero manual input—sounds efficient, right?

This isn’t a futuristic concept; it’s happening now. Across the UK and Europe, e-invoicing is becoming part of VAT compliance and a valuable way for businesses to streamline tax their management. Governments are using e-invoicing processes to close the VAT gap, reduce fraud, and create a more transparent tax landscape. With the European Commission’s ambitious VAT in the Digital Age (ViDA) reforms mandatory e-invoicing will soon redefine VAT compliance for us all.

And it’s not just about ticking compliance boxes because the advantages of e-invoicing are numerous. Say goodbye to invoice errors, slow processing times, and manual headaches. Instead, enjoy faster payments, improved cash flow, and a clearer picture of your finances. With the right approach e-invoicing can future-proof your tax management and unlock significant efficiencies.

Explore e-invoicing challenges and benefits today and be ready for the e-invoicing revolution.

Was ist E-Rechnungsstellung und wie unterscheidet sie sich von der herkömmlichen Rechnungsstellung?

E-Rechnungsstellung ist nicht nur ein Modewort, es ist eine bahnbrechende Veränderung der Art und Weise, wie Unternehmen Transaktionen abwickeln. Im Gegensatz zu herkömmlichen Rechnungen (Papier oder PDF), die häufig manuelle Eingriffe in mehreren Schritten erfordern, sind E-Rechnungen vollständig automatisiert. Sie werden in einem strukturierten, maschinenlesbaren Format ausgetauscht, was eine nahtlose Integration mit den Systemen der Kreditorenbuchhaltung ohne menschliches Zutun ermöglicht.  

Das Steuermanagement kann ein komplexer und zeitaufwendiger Prozess sein. Vertex kennt die Herausforderungen und Belastungen, denen Unternehmen bei der Einhaltung der Vorschriften gegenüberstehen. Die E-Rechnungsstellung wurde entwickelt, um diese Schwierigkeiten durch optimierte und automatisierte Workflows zu beseitigen und für mehr Effizienz und Genauigkeit zu sorgen.

  • Sie minimiert Verzögerungen bei der Rechnungsverarbeitung, da sie Echtzeit-Datenerfassung und -Validierung ermöglicht und den Cashflow und die operative Effizienz verbessert.
  • Die Automatisierung der E-Rechnungsstellung bedeutet, dass die Umsatzsteuer-Compliance einfacher erzielt werden kann, sogar bei hohen Transaktionsvolumina.
  • Da die Rechnungsdaten länderübergreifend standardisiert werden werden Einheitlichkeit und Genauigkeit verbessert und die Umsatzsteuermeldung vereinfacht.
  • Durch weniger manuelle Eingriffe verkürzt die E-Rechnungsstellung die Bearbeitungszeiten, verringert die Wahrscheinlichkeit von Fehlern und behandelt komplexe Compliance-Anforderungen auf effiziente Weise, was den Unternehmen größere Zuverlässigkeit und Skalierbarkeit bei der Verwaltung ihrer Steuerpflichten bietet.
     

Warum ist E-Rechnungsstellung so wichtig?

In Ländern wie dem Vereinigten Königreich, wo die Umsatzsteuer-Compliance nicht verhandelbar ist, tragen E-Rechnungen zur Verbesserung der Datengenauigkeit bei, reduzieren Fehler und ermöglichen Behörden sofortigen Zugriff auf steuerrelevante Informationen. Das bedeutet, Audits zu rationalisieren und Betrugsrisiken zu minimieren. Es werden kritische Daten, nicht nur visuelle Darstellungen übermittelt, was die Einhaltung gesetzlicher Vorschriften schneller, präziser und hocheffektiv macht.

  • E-Rechnungen zeichnen sich durch ihre direkte Integrationsfähigkeit in Buchhaltungssysteme aus, wodurch die manuelle Dateneingabe entfällt.
  • Die E-Rechnungsstellung ist auf der ganzen Welt aufgrund neuer Vorschriften im Vormarsch, die darauf abzielen, die Steuer-Compliance zu verbessern und Betrug zu reduzieren.
  • Sie bietet zwar Automatisierung, Compliance und umfassendere geschäftliche Vorteile, setzt aber auch voraus, dass Unternehmen ihre Prozesse anpassen und in die richtigen Technologien investieren.

Da die EU und andere Länder die E-Rechnungsstellung vorschreiben, müssen Unternehmen sie mehr als nur ein technologisches Upgrade sehen. Sie ist ein strategischer Schritt in Richtung Automatisierung, Transparenz und erfolgreiche Compliance. Sind Sie bereit, Ihren Rechnungsstellungsprozess zukunftssicher zu machen? Jetzt ist es an der Zeit zu handeln! 

How e-invoicing works

Integrate seamlessly with your existing accounting systems, improve efficiency and accuracy in VAT reporting. Vertex e-invoicing workflow transforms traditional invoicing by automating the entire process from creation to payment.

Vertex Cloud Data Integrity Data Validation

Creation

The workflow starts with creating e-invoices from transaction data, formatted to meet jurisdictional requirements, which means compliance from the get-go.

We prepare, file, and pay your monthly compliance accurately and on-time, while still providing you with centralized transparency into the data, returns, communications, and reports.

Validation

Before submission, the invoice data is validated to check for any errors or missing information, building in accuracy and compliance.

Tax Data Vertex

Submission and clearance

E-invoices are transmitted securely to tax authorities or portals, with real-time updates on approvals or rejections.

Improved Data Visibility

Tracking and authorisation monitoring

A central platform tracks e-invoices, making it easy to monitor their approval status and authorization for each transaction.

Every aspect of our compliance outsourcing service is managed in the US — nothing is offshored. You’ll speak directly with a dedicated Vertex representative handling your returns each month.

Secure end-to-end protection

All data is transmitted through encrypted, secure channels. Sensitive information is protected against fraud or cyber threats.

Manage Reconciliations

Compliance and archiving

Approved e-invoices are electronically archived with digital signatures, stored for audit readiness, meeting legal retention requirements for up to 15 years.

Ready to enhance your invoicing process and stay ahead of regulatory requirements? Learn more about Vertex’s e-invoicing from our on-demand webinar: Mastering the shift to e-invoicing: Strategies for a smooth transition.

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Benefits of e-invoicing

From improved efficiency to better compliance, the advantages of Vertex e-Invoicing are felt across the organization.

  • Increased efficiency: Transmit data via universal APIs or built-in connectors to help meet local mandates like Peppol and SDI without manual intervention.
  • Cash flow management: By speeding up payment cycles & decreasing Days Sales Outstanding (DSO).
  • Integration with VAT: Integrate seamlessly with VAT reporting, giving you visibility and transparency at every step.
  • Regulatory compliance: Stay up to date with evolving tax regulations, improving audit readiness and securely archiving up to 15 years of approved invoices.
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E-Rechnungsstellung und Umsatzsteuer-Compliance

Die E-Rechnungsstellung spielt für die erfolgreiche Umsatzsteuer-Compliance eine zunehmend wichtigere Rolle. Die Zeiten, in denen man nach Daten suchen und die Umsatzsteuer manuell eingeben musste, sind vorüber. Durch die Automatisierung der Umsatzsteuerberechnungen, weniger manuelle Fehler und die Straffung des Rechnungsstellungsprozesses bietet die E-Rechnungsstellung einen transparenten, prüfbaren Nachweis der Transaktionen, den Steuerbehörden mühelos abrufen können.

Die E-Rechnungsstellung von Vertex wurde zur Vereinfachung des E-Rechnungsstellungsverfahrens entwickelt, um stets über die neuesten Steuervorschriften in mehreren Gerichtsbarkeiten auf dem Laufenden zu bleiben. Die Lösung generiert automatisch korrekte Umsatzsteuerdaten, validiert, ob sie konform sind und erfasst alle relevanten Details im erforderlichen Format.

Durch die Integration der E-Rechnungsstellung in Finanzsysteme können Unternehmen die Effizienz verbessern, Risiken im Zusammenhang mit manuellen Fehlern verringern und das Verfahren der Umsatzsteuermeldung beschleunigen. Dies bedeutet schnellere und genauere Umsatzsteuereinreichungen an die Behörden. Vertex unterstützt Unternehmen dabei, den regulatorischen Anforderungen einen Schritt voraus zu bleiben und ihre Finanzabläufe zu verbessern.

Transform your tax department from a cost center into a strategic asset.

"Mandated process changes can bring the opportunity to transform a cost center into a value creator. Integrating tax reporting with e-invoicing from the start brings benefits far beyond compliance. It enables tax teams to identify issues before they escalate, improving accuracy and reducing risk. This proactive approach helps businesses forecast tax provisions with greater precision. Increasing the value of tax teams. Additionally, e-invoicing generates valuable data insights that streamline decision-making and mitigate the risks of late payments and fines. Adopting a strategic e-invoicing approach not only boosts operational efficiency but also strengthens your competitive advantage, helping your business thrive in the digital age."

E‑invoicing regulations are government rules that define how organizations must create, send, receive, and store electronic invoices. They set approved data formats, required fields, submission channels, and timelines so tax authorities can verify transactions digitally and at scale.

These rules aim to improve tax compliance, accelerate digital transformation, and reduce fraud and errors through structured, machine‑readable data. Common features include mandatory use (for B2G, B2B, or both), standard formats such as UBL or UN/CEFACT CII, real‑time or near‑real‑time clearance or reporting, strong security and authenticity controls, legally compliant long‑term archiving, and cross‑border interoperability via networks like PEPPOL.

If businesses do not comply, invoices can be rejected and payments delayed, creating extra administrative work. Penalties and interest may follow, alongside increased audit scrutiny and reputational damage with customers, suppliers, and tax authorities.

Vertex helps by providing a single, scalable connection to manage multiple country requirements. The solution delivers continuously updated rules, pre‑built ERP integrations, and automated validation to reduce rejections, plus secure delivery and tracking (including PEPPOL where applicable) and compliant long‑term archiving with full audit trails, giving tax and finance teams clear visibility and control.

E‑invoicing mandates are the compulsory legal requirements that specify when and how organizations must issue, transmit, receive, and store electronic invoices. They are the enforceable part of broader e‑invoicing rules, turning guidance into must‑do obligations.

While regulations set the overall policy framework and technical standards. Mandates make parts of that framework legally binding, with defined scope, formats, channels, go‑live dates, and penalties. A country may have regulations without a mandate, but once a mandate is in place, compliance is no longer optional.

Mandates are already live in countries such as Italy, India, and Mexico, and across many EU member states for B2G (with B2B expanding). Scope varies by market and can cover B2G, B2B, and public sector entities, often phased by company size or turnover thresholds.

To comply, businesses must issue e‑invoices in the required format, submit them through designated clearance or real‑time reporting platforms, ensure authenticity and integrity (e.g., digital signatures), and retain invoices in a legally compliant archive. Deadlines matter: mandates come with fixed go‑live dates and penalties for non‑compliance.

Vertex reduces complexity and risk with automatic mandate detection, integrations to government portals and networks (including PEPPOL where applicable), real‑time rule updates, pre‑submission validations, end‑to‑end status tracking, and compliant archiving, providing a single, scalable path to stay compliant as mandates evolve.

E-invoicing Challenges

Adopting e-invoicing can present a few hurdles, but the right approach can make all the difference.

Flexible Pricing Plans

Initial Setup Costs

Implementing e-invoicing can be mean significant financial investment. However, with Vertex’s scalable SaaS platform, businesses can manage costs and see a quick return on investment.

Integrations

Complex integration

Vertex simplifies this with built-in connectors, allowing seamless integration with accounting and ERP systems.

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Regulatory variability

Different countries have different regulations for e-invoicing. Vertex keeps you up to date with automated updates, for successful compliance across jurisdictions.

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Resistance to change

Employees may be reluctant to adopt new technology. Vertex’s user-friendly platform and support help ease the transition for a smooth adoption.

Accountants Console Resources

Change management

Managing the shift can be overwhelming. Vertex offers comprehensive training and support, helping businesses navigate every step of the transition.

How to implement e-invoicing?

  1. Understand your compliance obligations
    Identify in-scope countries, transaction types (B2G, B2B, B2C), formats, submission channels (clearance, real‑time reporting, PEPPOL), and retention periods. Prioritize markets with near‑term go‑live dates.
  2. Assess your current invoicing process
    Document AR/AP workflows, data sources, and exception hotspots. Define integration points and KPIs such as first‑pass acceptance, cycle time, and archive readiness.
  3. Seamless integration with your systems
    Connect ERPs and finance apps via pre‑built connectors or APIs. Use solutions like Vertex e-Invoicing as a single connection to government platforms and approved networks to avoid country‑by‑country custom builds.
  4. Automated invoice generation and delivery
    Automate creation, validation, schema transformation, digital signing, submission to portals/networks, and compliant e‑archiving. Aim for straight‑through processing.
  5. Test and validate your e‑invoicing workflow
    Run end‑to‑end tests per country, including authority responses and failure handling. Use status and error feedback to resolve issues before cutover.
  6. Training and support for your team
    Provide role‑based training and runbooks for exceptions, resubmissions, and audits. Establish a support model spanning tax, finance, and IT.
  7. Go live and onboard partners
    Phase go‑lives by entity or country to align with mandate timelines. Communicate requirements to customers and suppliers and monitor first‑pass acceptance with contingency plans ready.
  8. Continuous monitoring and optimization
    Track KPIs, rejection reasons, and payment delays; fix upstream data and tune validations. You can also rely on Vertex’s real‑time updates to stay compliant as mandates evolve without rework.

Vertex e-invoicing empowers businesses to navigate the e-invoicing and unlock benefits extending well beyond compliance.

Take VAT compliance to the next level with Vertex’s e-invoicing solutions.

Our platform streamlines processes boosting efficiency for successful VAT compliance across multiple tax jurisdictions and regions. Simplify your operations, gain real-time visibility, all while staying ahead of evolving e-invoicing regulatory requirements.

Ready to experience seamless e-invoicing?