What is e-invoicing?
E-invoicing (electronic invoicing) is the exchange of invoice documents in a structured, machine-readable digital format between the seller's and buyer's systems. Unlike a PDF sent by email, a true e-invoice uses standardized data formats (like XML or UBL) that can be processed automatically without manual data entry.
The European Union has adopted EN 16931 as the standard for e-invoicing. This standard defines the required data fields and structure for electronic invoices across all EU member states. The most common delivery network for e-invoices is Peppol (Pan-European Public Procurement Online).
Key distinction: Sending a PDF invoice by email is not the same as e-invoicing. True e-invoicing requires structured data that machines can read and process automatically. Some hybrid formats (like ZUGFeRD/Factur-X) bridge the gap by embedding structured data inside a PDF.
EU e-invoicing timeline by country
The EU is moving steadily toward mandatory e-invoicing for B2B (business-to-business) transactions. Several countries have already implemented mandates, and more are scheduled for 2026-2028. Here is the current landscape:
| Country | B2G | B2B Mandate | Status |
|---|---|---|---|
| Italy | Since 2014 | Since 2019 | Active |
| Belgium | Since 2024 | Jan 2026 | Active |
| Poland | Since 2024 | 2026 (KSeF) | Upcoming |
| Romania | Since 2022 | Since Jan 2024 | Active |
| France | Since 2017 | Sep 2026 (large), 2027 (SMEs) | Upcoming |
| Germany | Since 2020 | Jan 2027 (receive), 2028 (send) | Planned |
| Spain | Since 2015 | 2026-2027 (phased) | Upcoming |
| Lithuania | Since 2019 | Jan 2028 (expected) | Planned |
| Denmark | Since 2005 | Since 2005 | Active |
Note: Timelines and requirements are subject to change. The EU ViDA (VAT in the Digital Age) initiative is pushing for standardized e-invoicing across all member states. Always consult your accountant or tax advisor for the most current requirements affecting your business.
What Lithuanian businesses need to know
Current state
Lithuania already requires e-invoicing for B2G (business-to-government) transactions. If you invoice any public sector entity, you must send structured e-invoices through the government's e-invoicing system.
For B2B (business-to-business) transactions, traditional invoicing methods (paper, PDF) are still accepted. However, the transition to mandatory B2B e-invoicing is expected by January 2028.
Who will this affect?
- VAT-registered businesses (PVM moketojai) will need to issue and receive B2B invoices in a structured e-invoicing format
- Freelancers with individuali veikla who are VAT-registered or work with VAT-registered clients
- Small companies (MB, UAB) regardless of size, once the B2B mandate takes effect
- Cross-border traders within the EU, as the ViDA initiative will standardize e-invoicing requirements
Freelancers and sole traders (individuali veikla)
If you are a freelancer operating under individuali veikla or running an MB, you may think e-invoicing does not apply to you yet. That is mostly correct for B2B today, but the 2028 deadline is approaching. If you already invoice government clients, you are already required to use e-invoicing.
The best approach is to start using invoicing software that generates proper, structured invoices now. When the mandate arrives, the transition will be a software update rather than a workflow overhaul.
Disclaimer: This is general information, not legal or tax advice. E-invoicing requirements are evolving. Consult your accountant or VMI (Valstybine mokesciu inspekcija) for specific requirements applicable to your business situation.
How to prepare now
Even though B2B e-invoicing is not yet mandatory in Lithuania, preparing early gives you a competitive advantage and ensures a smooth transition. Here is what you can do today:
- Start using invoicing software that generates structured, compliant invoices rather than manually creating documents in Word or Excel. This ensures your invoice data is already in a format that can be converted to e-invoice standards.
- Ensure your invoices are compliant with current Lithuanian requirements (sequential numbering, all mandatory fields per PVM law). Non-compliant invoices will be an even bigger problem once e-invoicing validation becomes automated.
- Organize your document storage. E-invoicing regulations include record-keeping requirements. Having a structured digital archive (rather than scattered PDFs) will make compliance audits straightforward.
- Talk to your accountant about your specific timeline. If you work with government entities or plan to, B2G e-invoicing is already mandatory.
- Stay informed. Follow VMI announcements and EU ViDA developments. The exact B2B mandate date and technical requirements for Lithuania may be refined in the coming months.
How TeenyBill helps you get ready
TeenyBill is built to make invoicing simple, compliant, and future-proof for Lithuanian freelancers and small businesses.
- Compliant invoice formats: TeenyBill generates PVM saskaitos fakturos and standard invoices with all mandatory fields required by Lithuanian tax law. Automatic sequential numbering eliminates human error.
- Structured data from day one: Every invoice you create in TeenyBill stores structured data (clients, line items, VAT calculations) that can be exported to e-invoicing formats when the time comes.
- Future-ready for EN 16931 and Peppol: We are actively working on support for EU e-invoicing standards. When Lithuania mandates B2B e-invoicing, TeenyBill will be ready with compliant export formats.
- Organized document storage: Invoices are automatically organized in Google Drive with monthly folders and client names. When auditors or tax authorities request documents, everything is already sorted.
- Mobile-first, offline-first: Create compliant invoices anywhere, even without internet. No desktop accounting software needed. Perfect for freelancers and tradespeople who work on the go.
- Bilingual support (LT/EN): Issue invoices in Lithuanian or English, ideal for businesses with both local and international clients.
Frequently asked questions
A PDF invoice is a visual document intended for human reading. An e-invoice is a structured data file (typically XML) that machines can read and process automatically. True e-invoices comply with standards like EN 16931 and can be transmitted through networks like Peppol. Some hybrid formats (ZUGFeRD/Factur-X) combine both: a human-readable PDF with embedded machine-readable structured data.
The expected date is January 2028. However, the exact timeline depends on the transposition of EU directives (particularly ViDA) into Lithuanian law. B2G e-invoicing is already mandatory. We recommend checking with VMI or your accountant for the latest updates.
If you are VAT-registered or work with VAT-registered clients, you will likely need to comply when the B2B mandate takes effect. Even if you are below the VAT threshold, using compliant invoicing software now means zero disruption when the rules change. If you invoice government entities, you must already use e-invoicing.
Peppol is a pan-European network for exchanging electronic business documents, including e-invoices. It is already widely used in Nordic countries, Belgium, and Italy. Lithuania already supports Peppol for B2G transactions, and it will likely be a key delivery method for B2B e-invoicing as well.
EN 16931 is the European standard defining the data model for electronic invoices. It specifies what information an e-invoice must contain and how it should be structured. All EU member states must accept e-invoices complying with this standard. It supports two syntax formats: UBL 2.1 and UN/CEFACT CII.
ViDA (VAT in the Digital Age) is an EU initiative to modernize VAT reporting through mandatory e-invoicing and real-time digital reporting. Once adopted, it will require all EU member states to implement B2B e-invoicing. This is the driving force behind the 2026-2028 timeline across Europe. It aims to reduce VAT fraud and simplify cross-border trade.
That depends on the final implementation. In countries where B2B e-invoicing is already mandatory (like Italy), traditional PDF invoices are no longer accepted for B2B transactions. You can typically still send a PDF copy alongside the structured e-invoice, but the e-invoice is the legally binding document. Hybrid formats like ZUGFeRD may offer a transitional path.
Last updated: April 7, 2026. This article is for informational purposes only and does not constitute legal or tax advice. Consult a qualified professional for advice specific to your situation.