The Netherlands considers implementing B2B e-Invoicing in line with the ViDA Initiative

The Dutch Ministry of Finance has recently issued an official statement outlining its strategy to implement new electronic invoicing and digital reporting requirements, in alignment with the European Union’s VAT in the Digital Age (ViDA) initiative. This ambitious EU regulatory package, aimed at harmonizing and digitizing VAT management across the EU, is scheduled to enter into force on 1 July 2030 for all cross-border B2B transactions.

As part of its commitment to a smooth and effective transition, the Dutch government has indicated its intention to introduce the corresponding legislation at least two years before the EU deadline, by 2028 at the latest. This lead time is designed to enable adequate technical and operational preparation by businesses, tax authorities, and technology solution providers.

One of the most significant aspects of the plan is that the government is considering going beyond the EU requirements by assessing the feasibility of extending the mandatory use of e-invoicing and real-time digital reporting to all domestic B2B transactions, not just intra-community operations as mandated by the EU.
This possible extension would have major impacts on the local business environment, requiring all companies operating within Dutch territory to adapt their accounting processes and systems to comply with the new digital standards.

Aware of the structural and operational challenges of such a major shift, the government has confirmed that a public consultation will be conducted before making any final decisions. This consultation will target businesses, industry experts, and technology service providers, with the aim of gathering feedback, identifying practical obstacles, and ensuring that the forthcoming regulation reflects real market needs. The objective is to minimize costs and administrative burden, particularly for small and medium-sized enterprises (SMEs).

A four-phase strategy: from design to deployment

The Dutch government’s implementation plan is structured into four clearly defined phases, enabling a gradual and controlled rollout of the project:

1. Policy Research: The initial phase focuses on evaluating available regulatory and technical options, as well as analyzing the potential impact on various economic stakeholders.
2. Legislative Drafting: This stage involves preparing the legal framework that will define the new compliance obligations.
3. Technical Development: The design and deployment of the technological infrastructure needed to ensure interoperability between businesses and the tax authority.
4. Final Implementation: The launch of the system, including pilot phases, user training, and adaptation support.

Three fundamental elements are currently under review, which will determine the scope and structure of the future regulatory framework:

• The inclusion of mandatory e-invoicing for domestic B2B transactions.
• The potential application of real-time digital reporting to these same domestic operations.
• Selection of the most efficient and secure technical infrastructure to support electronic invoice issuance and data transmission to the tax authority, while ensuring regulatory compliance and data protection