Belgium is rapidly transitioning to mandatory electronic invoicing to modernise its tax system, combat VAT fraud, and improve business efficiency. Starting from January 1, 2026, B2B e-invoicing will become mandatory for all VAT-registered organisations in Belgium. This move aligns with broader European initiatives like "VAT in the Digital Age" (ViDA). The default standard for structured e-invoicing in Belgium will be PEPPOL BIS 3.0, transmitted via the PEPPOL Network, ensuring interoperability and automated processing. In this article, let's learn more about the current status of this mandate and how organisations can benefit from it. Read on.

Introduction 

Electronic invoicing is more important and relevant than ever. The country's e-invoicing mandate is set to take effect in January 2026, when organisations will be required to begin e-invoicing for B2B transactions. However, many businesses still need to become compliant. If your organisation isn't ready for this change or you'd like to understand the background of this mandate, this article is for you. In fact, in this article, you will explore some of the key updates of this mandate, including timeline and compliance requirements, and how an efficient solution like SAP DRC can help you streamline the entire electronic invoicing and reporting process. Continue reading to unfold valuable insights about this topic.

What is the current status of e-invoicing in Belgium?

Electronic invoicing is not yet mandatory for Business-to-Business transactions in Belgium, although this will change in January 2026. When it comes to B2G transactions, since March 2024, e-invoicing has been required for all public contracts. In fact, B2G electronic invoices must be sent through the PEPPOL open exchange network using the PEPPOL BIS 3.0 format. Furthermore, it's not mandatory to use e-invoicing in B2C transactions, and no mandate has been announced yet. However, digitalisation is still encouraged for all organisations irrespective of their sectors.

Understanding Belgium's new e-invoicing mandate

E-invoicing in Belgium will become mandatory on January 1, 2026. Organisations will be required to use the PEPPOL network to transmit e-invoices. Moreover, in 2028, the mandate will expand and include e-reporting. As of January 2028, companies must digitally submit information to the tax authority. This mandate serves multiple purposes. It will help eliminate VAT-related fraud with the help of increased transparency throughout the transaction process, while modernising the country's invoice and tax systems. 

With electronic invoicing, organisations will be more efficient and their invoicing workflows will become internationally compatible. Furthermore, the country's upcoming electronic mandate will prepare Belgium for VAT in the Digital Age (ViDA), the EU's initiative to digitalise the VAT system. Countries in the European Union must align their electronic invoicing systems with ViDA's formatting and e-reporting requirements by January 2035; however, companies must be capable of sending and receiving intra-EU invoices in ViDA-compliant formats by July 2030. Additionally, the E-invoicing in Belgium perfectly aligns with ViDA's requirements, ensuring compliance as the initiative goes into effect.

Timeline of e-invoicing in Belgium

The country's electronic invoicing mandate began to take effect in 2022, when B2G e-invoicing became mandatory. By 2028, e-invoicing and e-reporting will be required for all VAT-registered organisations. Here is the phase-wise timeline information of electronic invoicing in Belgium:

• November 2022: Public contracts over €30,000 must use e-invoicing.


• March 2024: All public contracts, irrespective of their size, must use electronic invoicing.


• January 2026: Organisations must use electronic invoicing for B2B transactions. The mandate applies to all VAT-registered companies.


• January 2028: Organisations must begin e-reporting tax information to the tax authority of the country. 

Compliance requirements for e-invoicing in Belgium

To align itself with the global e-invoicing requirements in 2025, the country has mandated the use of the PEPPOL open exchange network when transmitting electronic invoices in Belgium. PEPPOL is an open exchange network developed to provide the efficient and secure transmission of electronic business documents. Launched in 2012 by the OpenPeppol organisation, PEPPOL remains a leading framework for e-invoice exchange. It is a globally compatible network; however, most of its users are from the Europe & Asia regions.

Moreover, PEPPOL is based on a 4-corner model. In this framework, the e-invoice sender, receiver, and their respective access points each act as a corner. In this mode, electronic invoices are directly transmitted from the sender to the receiver through their access points. This method is highly effective and secure; however, remember that all PEPPOL access points must comply with certain data security requirements to become certified.

The e-invoicing in Belgium will be initially based on this 4-corner model. This will change with the implementation of e-reporting requirements in 2028, when the country's electronic invoicing system will shift to a 5-corner model. Interestingly, the only difference between these two models is the addition of a tax authority to the system. In the 5-corner model, the sender's access point will submit the electronic invoice to the tax authority for validation.

Furthermore, the transition to electronic invoicing may require changes to an organisation's existing invoicing processes. To offset some of the costs associated with e-invoicing implementation, the country's government will offer a temporary increase in deductible expenses. Companies can benefit from a tax deduction of 120% on their e-invoicing expenses until 2027.

If organisations fail to comply with the country's upcoming electronic mandate, they will be fined. The scale ranges from €1,500 for the first violation, €3,000 for the second, and €5,000 for the third violation.

Leveraging SAP DRC for e-invoicing in Belgium compliance 

For organisations already using SAP systems, the transition to Belgium's e-invoicing mandate can be significantly streamlined by leveraging SAP Document and Reporting Compliance (SAP DRC). This solution is developed to help companies navigate complex, country-specific e-invoicing and e-reporting regulations from a single, centralised platform. Rather than creating a new system from scratch or relying on separate, localised add-ons, the SAP Document and Reporting Compliance solution provides an integrated, end-to-end approach to ensure tax compliance. 

Moreover, the solution provides a unified framework that not only supports the Belgian B2B mandate but can also be extended to address other global reporting requirements as they arise. This proactive approach ensures long-term compliance and positions the business for future growth by providing a single source of truth for all statutory reporting and electronic document exchange, ultimately reducing IT overhead and non-compliance risk.

Conclusion 

E-invoicing in Belgium presents a clear call for digital transformation for organisations operating in the country. This is where solutions like SAP Document and Reporting Compliance help businesses to streamline the entire electronic invoicing and reporting process. By automating document generation and integrating directly with the PEPPOL network, this solution transforms compliance from a burden into a seamless process.

However, keep in mind that the successful implementation of this solution is complex and requires specialised knowledge. To ensure this transition, it is important to seek assistance from a qualified expert. Connecting with a partner who has relevant years of experience and domain knowledge for the SAP DRC implementation will help you ensure that your business not only meets the 2026 deadline but is also positioned for long-term success in the digital era.