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The Latest from PEPPOL for e-Invoicing for 2019 and Beyond

09 October 2019

5 minute read

The Latest from PEPPOL for e-Invoicing for 2019 and Beyond

With a new year comes new compliance standards and additions to regulatory trending terms such as PEPPOL. Update yourself with the information you need to ensure your organisation is prepared for changes that may affect how you do business.

 

PEPPOL updates and the European standard on e-invoicing

The old: PEPPOL BIS Invoice 4a Version 2, PEPPOL BIS Billing 5a Version 2

The new: PEPPOL BIS Billing Version 3

The PEPPOL BIS Billing Migration Plan outlines the transition from the current versions of “PEPPOL BIS Billing 5a Version 2” to the updated “PEPPOL BIS Billing Version 3.” It also walks users through the phase-out of the earlier “PEPPOL BIS Invoice 4a Version 2.”

To keep the process moving as quickly and smoothly as possible, three steps are used to transition out the old and in the new.

1. Phase In – In this step (completed February 27, 2018) users had the option to start using the new “PEPPOL BIS Billing Version 3.”

2. Transition – Here’s where we are now. This is the period of time where “PEPPOL BIS Invoice 4a Version 2” and “PEPPOL BIS Billing 5a Version 2” change from being deemed mandatory to instead being optional for organisations. These changes began April 18, 2019.

3. Phaseout – Starting December 31, 2019, both “PEPPOL BIS Invoice 4a Version 2” and “PEPPOL BIS Billing 5a Version” 2 will no longer be in use.

From http://docs.peppol.eu/poacc/billing/3.0/migration/

So, what does this “Transition” period look like? Since April 18, 2019, European public entities performing public procurement can accept “PEPPOL BIS Billing 5a Version 2” and “PEPPOL BIS Invoice 4a Version 2.” However, they are now required to accept the new “PEPPOL BIS Billing Version 3.”

As of April 18, 2019, all PEPPOL participants using PEPPOL Access Points were required to be registered with the newer “PEPPOL BIS Billing, Version 3” profile. Then, after December 31, 2019, all “PEPPOL BIS Billing 5a Version 2” and “PEPPOL BIS Invoice 4a Version 2” profiles will be decommissioned.

Belgium, as an exception, will be using their PEPPOL BIS profiles as-is and will be upgrading to “PEPPOL BIS Billing Version 3” as-is.

Provisions for adding supplier country rules within “PEPPOL BIS Billing Version 3” will be made to reduce different profiles per country. For example:

  • Current Norwegian profiles like EHF billing (5A) 2.0, EHF invoice only (4A) 2.0, and EHF credit note only will be replaced by “PEPPOL BIS Billing Version 3” with 2 Norwegian country rules for approximately 140,000 PEPPOL participants.

  • The current Swedish Svefaktura 2.0 will be replaced by “PEPPOL BIS Billing Version 3” with 11 Swedish country rules.

  • Denmark will support “PEPPOL BIS Billing Version 3” for PEPPOL enabled participants with 14 Danish country rules.

  • Italy will support “PEPPOL BIS Billing Version 3” PEPPOL enabled participants with 4 Italian rules.

PEPPOL has been exchanging Universal Business Language (UBL) based business documents, however it also produced PEPPOL BIS 3.0 mapping with CII and its profile registration support in SMPs to be compliant with EN. Though it will be not be advertised a lot due to UBL being more widely used over CII in practice, it will enable countries supporting CII to use PEPPOL as well.

Basware plays a vital role as a PEPPOL Access Point service provider through our extensive list of customers from PEPPOL-enabled countries. As more countries adopt PEPPOL across Europe and the globe, Basware continues to support current and new customers through their transition to “PEPPOL BIS Billing Version 3.”

  • Norway already has approximately 140,000 public as well private PEPPOL participants and continues to expand during 2019.

  • Swedish public entities were registered in PEPPOL and made available largely during April, 2019, followed by private sector availability.

  • Finland public sector will be using FICIUS (Teapps 3.0 and Finvoice 3.0) though it will be accepting “PEPPOL BIS Billing Version 3” as well from April 2019 onwards.

  • Belgium already had an average of 250 public entities enabled in PEPPOL and registered approximately 6,000 public entities during April 2019, followed by private sector, too.

  • UK is already PEPPOL enabled via NHS. We’ll watch this development in 2019.

  • Ireland is already PEPPOL enabled and public entities will be enabled with “PEPPOL BIS Billing Version 3” during 2019.

  • Denmark has covered Nemhandel platform and SKI framework legally with PEPPOL and the public entities was registered in PEPPOL network with “PEPPOL BIS Billing Version 3” profile during April 2019. The private sector is expected to take some time in switching from OIOUBL to “PEPPOL BIS Billing Version 3.”

  • Netherlands PEPPOL participants was enabled with both “PEPPOL BIS Billing Version 3” as well as SI-UBL 2.0 (NLCIUS) during April 2019.

  • Luxembourg is already reachable via PEPPOL for all public entities.

  • France has recently changed their PEPPOL access point service provider which connects Chorus pro to PEPPOL. It is expected to be live with PEPPOL in 2019.

  • Germany public sector participants will be registered with both “PEPPOL BIS Billing Version 3” as well as XRechnung (DECIUS) during 2019.

  • Austria public sector is already enabled on PEPPOL though hiding the participants behind 1 participant and will be receiving new BIS through that 1 PEPPOL participant only.

  • Estonia will be accepting “PEPPOL BIS Billing Version 3” primarily and public entities were enabled during 2019, followed by the private sector.

  • Lithuania an eDelivery project partially financed by INEA with a consortium of private companies is establishing an independent PEPPOL eDelivery Access Point.

  • Poland public entities was enabled in the PEPPOL network with “PEPPOL BIS Billing Version 3” during April 2019 to receive these through a centralised e-invoicing platform.

  • Romania Public entities are expected to be enabled in PEPPOL towards the end of 2019.

  • Slovenia will be enabling budget users and other contracting authorities as well over PEPPOL network with “PEPPOL BIS Billing Version 3” profile along with e-SLOG 2.0 (National CIUS).

  • Italy is the first country with clearance model in PEPPOL network. The Region of Emilia Romagna PEPPOL participants will be migrated to “PEPPOL BIS Billing Version 3.”

  • Singapore adopted PEPPOL last year and launched it already in January 2019.

  • Australia and New Zealand adopting PEPPOL by end of 2019.

Basware prepares for the European standard for e-invoicing through PEPPOL

“PEPPOL BIS Billing Version 3” capabilities and relevant transformations between current supported PEPPOL BIS and EHF billing family documents and versions and new “PEPPOL BIS Billing Version 3” to support the implementation of the Directive 2014/55/EU on electronic invoicing and the eGovernment Program - Digital Agenda 2015-2016 for Norway have been implemented by Basware in its network with financial support from the European Union with other consortium members being Difi, Visma, Logiq, IBX, Xledger and 24SevenOffice so that customers transacting electronic invoices via the Basware network can continue their business without interruptions throughout 2019.

Since the older “PEPPOL BIS Invoice 4a Version 2” and “PEPPOL BIS Billing 5a Version 2” will only be supported as optional standards until December 31, 2019. In order to not get left behind during the transition, we recommend customers switch to “PEPPOL BIS Billing Version 3” as soon as possible.

What’s in Store for the US?

As for e-invoicing mandates in the US, though there isn’t a schedule set quite yet for required electronic adoption, as more countries implement mandatory e-invoicing, the likelihood of it making its way into the US market increases. The right topics are in discussion and the benefits of e-invoicing highly outweigh the cons—and while it is highly unlikely that the US will institute a B2B e-invoice mandate, the US market is realising that it can benefit from the digitisation of Europe.

One way the US is addressing these changes is through The Business Payments Coalition’s work, which is based on PEPPOL foundations. The Business Payments Coalition (BPC) is working to release a GAP analysis of PEPPOL and US needs by mid-2019. By leveraging this work, the BPC aims to have proof of concept for a 4-corner US e-Invoice Interoperability model launched in 2020. Through PEPPOL, a US buyer could have access to suppliers on over 200 networks across Europe and Singapore.

How can Basware help?

If you’re doing global business and want to ensure your company is compliant with upcoming or potential e-invoicing and GDPR requirements, we’re here to help. Basware is a global leader in purchase to pay with a variety of e-invoicing functionalities available. We also work closely with our global partners to keep up-to-date with the developments regarding regulations to make sure our customers remain compliant with e-invoicing processes worldwide.

To learn more, check out PayStream Advisors’ Global AP Automation report to learn more about ensuring global compliance with e-invoicing.