Electronic invoicing in Latvia

Mandatory Use

The implementation of mandatory e-invoicing in Latvia is being introduced in phases, distinguishing between public sector and private sector transactions:

• Public sector (B2G, G2G, G2B): As of January 1, 2025, all transactions with Latvian public institutions must be managed using electronic invoicing. This includes invoices from businesses to government (B2G), between government institutions (G2G), and from government to suppliers (G2B).
• Private sector (B2B): The Latvian Parliament postponed the obligation for B2B transactions to January 1, 2028. From that date, all invoices between domestic taxpayers must be electronic and reported to the SRS.

This phased approach allows companies to prepare for the full rollout of Latvia’s e-invoicing mandate.

Invoice Format

Electronic invoices in Latvia must be issued in a structured digital format readable by IT systems. The mandatory standard is Peppol BIS Billing 3.0 in XML format, which complies with European Standard EN 16931. This ensures interoperability and alignment with EU e-invoicing requirements.

Electronic Signature

Latvian legislation, in line with the EU VAT Directive, does not require an advanced or qualified electronic signature for e-invoices to be legally valid. The authenticity and integrity of invoices can be guaranteed through other means.
However, qualified electronic signatures are accepted and supported. If a company chooses to digitally sign invoices (due to recipient requirements or internal compliance policies), these are recognized under the EU eIDAS Regulation.

Invoice Archiving

Companies in Latvia must archive and retain electronic invoices for at least 5 years, counted from the end of the fiscal year in which the invoice was issued or received. This obligation ensures compliance with both tax auditing requirements and long-term e-invoicing regulations.