31.1 E-Invoicing Legal Framework
Overviewβ
Luxembourg's e-invoicing legal framework establishes the requirements and standards for electronic invoicing. While e-invoicing is not yet mandatory for all businesses, the legal framework provides the basis for electronic invoicing and sets standards for when e-invoices are used.
Legal Basisβ
EU Directive 2014/55/EUβ
European Directive on E-Invoicing:
- Establishes European standard for e-invoicing
- Defines e-invoice requirements
- Sets technical standards
- Promotes e-invoicing adoption
Luxembourg Implementationβ
Luxembourg has implemented:
- EU directive requirements
- National e-invoicing standards
- Technical specifications
- Compliance requirements
E-Invoice Definitionβ
What is an E-Invoice?β
Electronic Invoice (E-Invoice):
- Invoice issued, transmitted, and received in electronic format
- Must contain same information as paper invoice
- Must be readable and accessible
- Must be authentic and have integrity
Key Characteristicsβ
E-Invoices Must:
- Be in electronic format
- Contain all required invoice information
- Be readable by recipient
- Maintain authenticity and integrity
- Be stored in accessible format
Legal Requirementsβ
Acceptance of E-Invoicesβ
Legal Acceptance:
- E-invoices are legally equivalent to paper invoices
- Recipients must accept e-invoices if properly formatted
- E-invoices satisfy legal requirements for invoicing
- E-invoices can be used for tax and accounting purposes
Consent Requirementsβ
Recipient Consent:
- Generally, recipient must consent to receive e-invoices
- Consent can be explicit or implicit
- Business-to-business (B2B) consent typically easier
- Business-to-government (B2G) may have specific requirements
Technical Standardsβ
Format Requirementsβ
Supported Formats:
- UBL (Universal Business Language): XML-based standard
- Peppol: European e-invoicing network standard
- PDF: With proper structure and metadata
- Other formats: As specified by recipient
Structure Requirementsβ
E-Invoices Must Include:
- Invoice number
- Invoice date
- Supplier information
- Customer information
- Line items with descriptions
- Quantities and prices
- Tax information (VAT)
- Total amounts
- Payment information
Authenticity and Integrityβ
Authenticity Requirementsβ
Authenticity Means:
- Invoice is from stated supplier
- Invoice has not been altered
- Invoice is genuine
- Supplier identity is verified
Integrity Requirementsβ
Integrity Means:
- Invoice content is complete
- Invoice has not been modified
- All data is accurate
- No unauthorized changes
Methods to Ensure Authenticity and Integrityβ
Methods:
- Digital signature: Electronic signature on invoice
- EDI (Electronic Data Interchange): Secure data exchange
- Audit trail: Complete transaction history
- Control procedures: Internal controls and validation
Storage and Retentionβ
Storage Requirementsβ
E-Invoices Must Be:
- Stored in readable format
- Accessible when needed
- Protected from loss or damage
- Retained for required period (10 years)
Format Preservationβ
Format Requirements:
- Must remain readable
- Must preserve original format
- Must be accessible for audits
- Must support long-term storage
Luxembourg Compliance Noteβ
Important Requirements:
- Format compliance: E-invoices must meet technical standards
- Authenticity and integrity: Must be ensured through appropriate methods
- Storage: Must be stored properly for 10 years
- Accessibility: Must be accessible when needed
- Consent: Recipient consent may be required
Common Issues:
- Format errors: E-invoices not in required format
- Authenticity concerns: Unable to prove authenticity
- Storage problems: E-invoices not properly stored
- Accessibility issues: Unable to access stored e-invoices
- Consent issues: Recipient not consenting to e-invoices
Think It Throughβ
Artisan Boulangerie wants to start sending e-invoices to their business customers. What legal requirements must they meet? What technical standards must they follow?
Concepts in Practiceβ
E-Invoicing Implementation
TechLux Solutions e-invoicing setup:
Legal Compliance:
- E-invoices meet EU directive requirements
- E-invoices contain all required information
- Digital signature ensures authenticity and integrity
- E-invoices stored in accessible format
Technical Implementation:
- Format: UBL XML format
- Transmission: Secure electronic transmission
- Storage: Cloud-based storage with backup
- Access: Available for 10-year retention period
Customer Acceptance:
- Business customers consent to e-invoices
- E-invoices accepted and processed
- Paper invoices still available if requested
- Smooth transition to e-invoicing
Result: Compliant e-invoicing system, improved efficiency, reduced costs.