The end of an era: Starting from 2026, paper invoices will definitively be consigned to the trash

Driven by a large-scale European project, Belgium will require e-invoicing for all B2B transactions from 1 January 2026. This should allow companies to benefit from more efficient billing processes and improved cashflows and should also make it easier to exchange invoices between European countries. What is e-invoicing and what does it mean for your company? What investments should you make and what exactly should you take into account?

What exactly is e-invoicing?

In today's digital world, the way companies communicate and transact with each other is evolving. One of the most notable innovations is e-invoicing, or also known as electronic invoicing. This progress is more than just a trend — it's a revolution in sending and receiving invoices that makes stacks of paperwork obsolete.

E-invoicing uses standardized digital formats that seamlessly integrate with the accounting systems of both sender and recipient. This means that once an invoice is issued, it can be processed, approved and paid automatically without the need for manual data entry. This efficiency boost not only ensures a faster payment cycle (improving cashflow) but also significantly reduces the risk of errors that often occur during manual processing.

How does Europe want to achieve e-invoicing?

Over the past decade, PEPPOL saw the light of day: a powerful, innovative network with standardized digital formats that enable the efficient exchange of invoices and documents. But what makes PEPPOL's technological innovation so special?

PEPPOL stands for Pan-European Public Procurement On-Line and is designed to enable seamless digital communication between entities, including across borders. When you are connected to the PEPPOL network, you can therefore exchange documents regardless of where you are in the Union or which internal system you work with.

PEPPOL's strength lies in its ability to bridge the digital divide, making transactions not only faster and safer, but also significantly more cost-efficient. This is particularly beneficial for small and medium-sized companies because it eliminates a lot of complexity and promotes international trade. The result? A more inclusive, accessible and efficient market for all participants.

As a business manager, how can I prepare for the digitization of billing?

As a partner, we guide our customers from A to Z. Using our standard methodology, we make the integration as smooth and painless as possible. From the analysis of current processes and assistance with the connection to the network, to training their staff, monitoring performance and maintenance after the go-live, we assist our customers in every step of the process.

Additional investment deduction as a favourable tax measure

There is good news for Belgian companies that are making the digital switch to the PEPPOL network: the federal government has introduced a series of favourable tax measures to stimulate the implementation of e-invoicing systems and the connection with the network.

One of the key points of this policy is the increased investment deduction for digitization. This applies from tax year 2025 linked to a financial year that starts on 1 January 2024 at the earliest. Belgian companies can benefit from an increased percentage of investment deduction (120%) for purchasing e-billing software. This means that 120% of the implementation costs (including advisory costs) can be deducted from the taxable profit, leading to direct tax savings. More specifically, this concerns the monthly subscription costs that billing programs charge, all costs incurred in preparation for e-invoicing, but also the (advisory) costs of the accompanying process. For investments in digital fixed assets, the government has also announced an increased investment deduction of 20% from 2025 to ensure equal tax treatment.

In addition to tax benefits, Belgian companies can also claim various subsidies and financing programs that focus on the digital transformation of companies. These programs, offered by both federal and regional governments, are intended to alleviate the financial burden of implementing new technologies, including e-billing software.

Need a sounding board about e-invoicing, financial processes and digitization? Are you specifically looking for financial or technological advice and would you like to be guided by the right professionals? Get in touch to see what Unikoo can do for your organization.