Viva la ViDA:
European Parliament confirms ViDA reforms
February 2025: Following the political agreement of the finance ministers from the EU member states in November 2024, the European Parliament has now also confirmed the reforms.
After several delays – in particular due to disagreements on the regulation of the platform economy – an agreement on the ViDA reform was reached by ECOFIN in November 2024. As a result of changes in the original draft directive, an additional vote was held in the EU Parliament which took place on February 12, 2025 and confirmed the ViDA package with a clear majority.
Formal ratification is expected in March 2025 as the final step in the legislative procedure. This will make the directive legally binding and set the timetable for national implementation.
The three fundamental pillars of the ViDA initiative
- Digital reporting requirements
Standardization of e-invoicing and creation of digital reporting systems throughout the EU. - VAT compliance for platform economy
Simplification of VAT collection for online marketplaces and digital platforms. Standardized VAT registration (one-stop-shop; OSS)
Simplification of VAT registration within the EU by providing a standardized registration system. This is intended to enable companies to manage their tax obligations in the EU through a single register.
Important data
- After legislation
EU member states have the option of making e-invoicing mandatory for domestic B2C/B2B transactions (e.g., Germany)Prior licensing requirement on the part of the European Commission no longer applies
Requirements: measures are limited to the territory of the respective EU country
- July 2030
E-invoicing will be mandatory for B2B transactions within the EU and for transactions subject to the Reverse Charge procedure.VAT-registered companies need to issue e-invoices in the EU standard format (EN 16931)
Invoices are to be issued within 10 days of receipt of goods / provision of services
- January 2025
Harmonization of all European e-invoicing systems with the applicable EU standards
Be ready for the future by starting today:
With AFI Billing and AFI Invoice, you are fully prepared for the upcoming e-invoicing mandates – for both incoming and outgoing invoices.
*All information is subject to change.
