Ireland Prepares for Electronic Invoicing and VAT Reporting for 2028

Ireland plans to introduce significant changes in how companies manage invoicing and VAT reporting in the country. Following a public consultation, the Irish Revenue has published the VAT Modernisation Report, announcing the introduction of mandatory B2B electronic invoicing for VAT-registered Irish companies carrying out cross-border operations within the EU.

Ireland's VAT Modernization Program is part of wider European efforts to boost transparency, improve data reliability, and combat tax fraud. The rollout of structured e-Invoicing and digital transaction reporting marks a significant move towards faster, more responsive tax compliance and real-time oversight models.

Electronic invoices must comply with the European standard EN 16931, and companies will be required to ensure the integrity, authenticity, and proper preservation of records.
The rollout will take place in phases, allowing both businesses and the Revenue to learn from early adopters and prepare systematically before July 1, 2030, when the EU ViDA project requirements become mandatory.

The ViDA Directive establishes the legal obligation for business customers to accept electronic invoices from their suppliers. This means that even if a company is not yet required to issue electronic invoices in the early stages, it must still be able to receive them in the required structured electronic format.

Timeline for Electronic Invoicing in Ireland

Ireland will introduce electronic invoicing and real-time VAT reporting in three phases:

Phase 1 November 2028

From this date, new obligations will apply to large VAT-registered businesses carrying out domestic B2B transactions:

• Mandatory issuance of structured electronic invoices for domestic B2B operations.
• Submission of relevant transaction data to Irish Revenue
• All businesses in Ireland, regardless of size, must be prepared to receive structured electronic invoices.

For Phase One, a business will be classified as a "large corporation" if it:

• Is VAT-registered and falls under the supervision of Irish Revenue's Large Corporates Division
• Is established in Ireland or operates through a permanent establishment in the country.

This clear definition helps companies assess whether they are within scope and supports early planning for compliance well ahead of implementation.

Phase 2 November 2029

The national mandate will extend to all VAT-registered businesses engaged in intra-Community B2B trade benefiting from the 0% VAT regime applicable to such operations. This schedule will allow companies to become familiar with the national requirements before the European ViDA system becomes fully mandatory.

Phase 3 July 2030

Implementation of ViDA requirements for all intra-Community B2B transactions, mandatory across all EU Member States. Irish companies already operating under the national system will need to adjust to comply with the European obligations.

Current Context of Electronic Invoicing

At present, electronic invoicing in Ireland is only mandatory in the public sector. Public entities have been required to receive electronic invoices since 2019.

On the other hand, the issuance of invoices or other documents in electronic format is subject to an agreement between both parties. In addition, the electronic invoicing system used by the Irish VAT-registered company must be able to:

• Generate, store, and archive electronic records and messages in the required format and with the necessary data to comply with Irish VAT regulations, ensuring they are readily accessible to Irish Revenue upon request.
• Reproduce any required record or message in either paper or electronic format as needed.
• Maintain electronic records in an organized manner that enables retrieval using key references such as the issuer or recipient’s name, the message date, or the message’s unique identification number.
• Guarantee the integrity of the content, verify the authenticity of the document's source, and establish a reliable audit trail for the transaction and its supporting documents.