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31.1 E-Invoicing Legal Framework

Overview​

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.

EU Directive 2014/55/EU​

European Directive on E-Invoicing:

  • Establishes European standard for e-invoicing
  • Defines e-invoice requirements
  • Sets technical standards
  • Promotes e-invoicing adoption

Luxembourg Implementation​

Luxembourg has implemented:

  • EU directive requirements
  • National e-invoicing standards
  • Technical specifications
  • Compliance requirements

E-Invoice Definition​

What is an E-Invoice?​

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 Characteristics​

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

Acceptance of E-Invoices​

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

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 Standards​

Format Requirements​

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 Requirements​

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 Integrity​

Authenticity Requirements​

Authenticity Means:

  • Invoice is from stated supplier
  • Invoice has not been altered
  • Invoice is genuine
  • Supplier identity is verified

Integrity Requirements​

Integrity Means:

  • Invoice content is complete
  • Invoice has not been modified
  • All data is accurate
  • No unauthorized changes

Methods to Ensure Authenticity and Integrity​

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 Retention​

Storage Requirements​

E-Invoices Must Be:

  • Stored in readable format
  • Accessible when needed
  • Protected from loss or damage
  • Retained for required period (10 years)

Format Preservation​

Format Requirements:

  • Must remain readable
  • Must preserve original format
  • Must be accessible for audits
  • Must support long-term storage

Luxembourg Compliance Note​

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 Through​

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 Practice​

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.