EC proposes equal treatment between electronic and “paper” format invoices

On January 28, the European Commission adopted a proposal modifying the “VAT” directive in order to boost electronic invoicing.

On January 28, the European Commission adopted a proposal modifying the “VAT” directive (2006/112/ EC) in order to boost electronic invoicing, particularly on a cross-border basis.

It suggests that VAT invoices should be treated the same whether in electronic or paper format.

The proposal follows recommendations by an expert group on reducing the administrative burden. It brings in a technologically neutral solution, by getting rid of technological options (e.g. advanced electronic signature, EDI electronic data interchange system) which the Member States can currently impose on their territory.

However, the Commission states that this only is a first step and that it is crucial for the Member States to reach an agreement on a raft of common principles allowing businesses to adopt electronic invoicing solutions.