E-invoicing mandatory in Romania from 1 January 2024 for all B2B transactions

The derogation from Articles 218 and 232 of Directive 2006/112/EC on the common system of value added tax resulting in the mandatory use of electronic invoices and the RO e-Invoice system for all transactions between taxable persons established in Romania will be valid from 1 January 2024 to 31 December 2026, with the possibility to extend this term.

The above derogation should be subject to approval from the European Council. If approved, the local legislation should be amended as to implement the related obligation.

Key takeaway

The mandatory use of electronic and secured invoices for all transactions between taxable persons established in Romania will require the update of all accounting systems to able them to communicate with the servers set up by the Romanian Tax Authorities. Businesses should prepare.