Luxembourg approves phased B2B e-invoicing mandate starting 2028

Luxembourg's Government Council approved a draft law requiring all businesses to receive e-invoices by January 2028, with issuance obligations phased in through January 2029, using Peppol infrastructure.

Luxembourg’s Government Council approved a draft law on 17 July 2026 to extend mandatory e-invoicing to domestic B2B transactions, transposing Council Directive (EU) 2025/516 (ViDA). The rollout is phased: all businesses must receive e-invoices by 1 January 2028, large and medium-sized firms must issue them by 1 July 2028, and all remaining businesses by 1 January 2029. The framework will use Peppol infrastructure, building on the existing B2G system.

Luxembourg’s Government Council approved a draft law on 17 July 2026 to mandate B2B e-invoicing for domestic transactions between Luxembourg-established businesses. The measure transposes Article 1 of Council Directive (EU) 2025/516 (ViDA), which modernizes VAT rules across the EU. The draft remains subject to parliamentary approval, so dates and scope may change.

Phased rollout timeline

The implementation is structured in three phases:

1 January 2028: All businesses must be able to receive e-invoices.
1 July 2028: Large and medium-sized businesses must issue e-invoices.
1 January 2029: All remaining businesses, including SMEs, must issue e-invoices.

Peppol-based infrastructure

Invoices will flow over an interoperable, Peppol-based four-corner network structured to EN 16931. The framework builds on Luxembourg’s existing B2G e-invoicing system, which already uses Peppol. Peppol transmissions in Luxembourg rose from under 100 in 2021 to nearly 1.4 million in 2024, demonstrating the network’s maturity.

A companion draft Grand-Ducal Regulation will establish the common delivery network, allowing senders and recipients to avoid deploying separate, non-interoperable tools.

E-invoicing only, no domestic e-reporting

Luxembourg has not announced a domestic real-time or digital reporting requirement (DRR). The only e-reporting obligation is the EU cross-border DRR under ViDA, effective from 1 July 2030, which will be handled by a separate bill. This positions Luxembourg as an “e-invoicing first, no domestic e-reporting” jurisdiction.

Business support

The Chamber of Commerce plans information sessions, workshops, and software subsidy schemes to help businesses prepare for the transition.