E-invoicing compliance and regulatory updates - Estonia

Electronic Invoicing in Estonia

Is e-invoicing mandatory in Estonia ?

E-invoicing has been mandatory for B2G transactions in Estonia since 2019.

E-invoicing is mandatory for B2B transactions when a buyer registered in the Commercial Register demands it of their supplier.

Who is affected?

All public sector contracting authorities must receive B2G e-invoices. In B2B, e-invoicing is optional and requires the buyer’s consent.

Compliance requirements

For B2G, invoices must follow the EN16931-1 standard unless otherwise agreed.

In B2B, no specific format or platform is mandated.

Want to learn more about e-Invoicing compliance?

Download our Global e-invoicing and Tax Compliance fact sheet here for more information.

Key Deadlines 

• No upcoming deadlines

Standards & Platforms  

Platform

There is no central platform in Estonia.

Estonian e-invoicing is based on an operator model and there are multiple operators which may be used to transact in Estonia, including the Peppol network. Taxpayers can send B2G e-invoices free of charge using the Centre of Registers and Information Systems (RIK).

What formats are required in Estonia?

B2G invoices must follow the European e-invoicing standard EN 16931-1 unless otherwise agreed. As e-invoicing is not mandatory for B2B, there are no specific format requirements.

Archiving in Estonia

What are the archiving requirements in Estonia?

Invoices must be retained for seven years. Invoices can be archived outside of Estonia, as long as the fastest possible submission of invoices to the tax authority is ensured.

Legal invoice:

• For suppliers: A legal invoice is a document compliant with Estonian national and EU standards as sent to the buyer.
• For buyers: In B2G, a legal invoice is an e-invoice received in the required structured XML format, in the same structured format in which it was received. In B2B, the legal invoice is the invoice received from the supplier in the format the supplier sent it.

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Key Actions

Ensure compliance: Prepare to send e-invoices to public sector business partners and buyers registered in the commercial register.

Adjust to e-invoicing: Agree with your private sector business partners on the use of e-invoicing.

Archive properly: Store invoices for seven years, beginning January of the year following issuance.

Estonian e-invoicing and archiving requirements at a glance:

Supplier requirement: Estonian B2G suppliers must issue structured e-invoices, compliant with the European e-invoicing standard (EN) unless otherwise agreed. In B2B, suppliers issue e-invoices if the buyer agrees or demands.

Buyer requirement: Estonian public buyers must be able to receive e-invoices individually through a decentralized system. In B2B, buyers must give consent to receive e-invoices.

Archiving requirement: Invoices must be archived for seven years from January of the year following issuance.