European Union adopts VAT in the Digital Age reforms: What you need to know

On the 11th March 2025, the Council of the European Union officially adopted new VAT in the Digital Age (ViDA) reforms, marking a significant shift in the way VAT compliance and eInvoicing are managed across Europe. Set to come into effect from April 14th 2025, these upcoming legislative changes include greater ability for countries to mandate domestic eInvoicing and the introduction of real-time reporting across the region.

ViDA is the EU’s initiative to modernise VAT reporting and eInvoicing to enhance efficiency, reduce fraud, and streamline tax compliance. These regulations update the current VAT reporting system through digital solutions, including eInvoicing. Read our explainer here for a deeper dive into the reforms.

From April 14th 2025, member states will no longer require European Council approval to introduce domestic eInvoicing mandates. This means that customer agreement isn’t required for eInvoicing use; if a mandate is introduced in your country, your business must be ready to issue and accept eInvoices according to local regulations.

Looking ahead, ViDA will make eInvoicing the default for B2B transactions within the EU:

Existing domestic eInvoicing schemes introduced before 1st January 2024 will now have until January 2035 to align with ViDA standards (previously set for 2027).

Many European countries are already transitioning to eInvoicing. From January 2026, Belgium will require B2B transactions to use eInvoicing, with intent to introduce real-time eReporting using Peppol’s 5-corner model from January 2028.

For countries with voluntary or limited eInvoicing requirements – like the Netherlands, where eInvoicing has only been mandated for B2G transactions since 2017 – ViDA means expanded mandates could be introduced at any time. For businesses based in these countries, the reforms signal a need to start preparing now.

If your business operates in the EU, or trades with companies in the region, these reforms will impact how you handle invoicing and VAT compliance. Even if your country has not yet introduced an eInvoicing mandate, it’s only a matter of time before these changes affect you. Ensuring your systems can support structured eInvoices and comply with EU standards will help you stay ahead.

Don’t wait for a mandate – get in touch with Tickstar’s expert team to discuss your business’ eInvoicing requirements today.

The dates and statistics provided in this blog are current as at April 2025 and are subject to change. Readers are encouraged to verify the latest updates in their region to ensure compliance.