European Commission launches e-invoicing consultation ahead of Directive overhaul
The European Commission ‘EC’ has opened a public consultation on revising the EU’s e-Invoicing Directive with 3 options. This signals the next phase of harmonisation ahead of VAT in the Digital Age (ViDA).
Open from 18 March to 10 June 2026, the consultation invites businesses, tax authorities, software providers and advisors to shape the future framework.
The Commission is effectively asking the market how far and how fast to standardise. With ViDA already set, the answer is likely: faster than many systems are ready for.
Three EC options
The consultation outlines three escalating policy directions:
- Option 1: Stronger adoption and mandatory use of EN 16931 for B2G above EU thresholds
- Option 2: Full rollout across all public procurement, plus interoperability and software integration requirements
- Option 3: Adds EU-level governance, including accreditation of providers and central monitoring
There is also a clear shift beyond public procurement. Stakeholders are being asked whether scope should expand into:
- B2G below thresholds
- G2B interactions (e.g. tax reporting)
- Potentially B2B and B2C use cases
Why this matters now
The current Directive has driven adoption, particularly in B2G public procurement, and established the EN 16931 European standard as a common baseline. But the Commission is clear: progress is uneven.
Key issues identified:
- Fragmentation: parallel national formats and rules persist
- Interoperability gaps: especially in transmission between systems
- Governance complexity: split responsibilities across authorities
- Uneven uptake: driven largely by national mandates rather than EU rules
With ViDA mandating structured e-invoicing and digital reporting for intra-EU B2B by July 2030, these gaps are no longer academic. They are blockers.
The real battleground: cost vs control
The consultation goes deep on compliance cost drivers, highlighting:
- Multi-country legal complexity
- IT system adaptation
- Administrative burden
- Regulatory fees and mandated platforms
This reflects a core tension: harmonisation reduces long-term cost, but only if implementation avoids adding another layer of EU-level complexity on top of national regimes.
