It’s official. The Council of the European Union has approved the European Commission's proposal to modernize the EU's VAT system (ViDA). This decision carries immense significance for businesses across Europe. In response, the EDITEL Group, an international specialist in Electronic Data Interchange (EDI) and e-invoicing headquartered in Vienna, has proactively established a new e-Invoicing Competence Center. The purpose of this center is to provide enhanced support for businesses transitioning to digital invoicing, especially given the anticipated flood of regulations across individual EU member states. ViDA allows member states to implement their own national e-invoicing systems once the directive is published in the EU's Official Journal—a move that countries like Germany and Italy have already undertaken or are in the process of implementing.
The gap is substantial: according to the European Commission's latest VAT Gap Report, EU member states lost an estimated €61 billion in VAT revenue in 2021, with Austria alone accounting for €883 million of this loss. In light of these figures, EU member states recently reached an agreement in the ECOFIN Council on the long-debated ViDA directive. "It is safe to assume that EU member states, considering the budgetary situations in most countries, will swiftly implement national e-invoicing regulations to address this VAT gap," says Tomasz Kuciel, head of the ViDA Competence Center at EDITEL.
Some countries have already taken the necessary steps. For example, Italy has implemented e-invoicing in the B2B sector for some time now, while Germany introduced mandatory e-invoicing on January 1, 2025, with transitional arrangements in place. Just as in the B2G sector for several years, B2B e-invoicing now requires the use of a structured electronic data format. A simple PDF invoice will no longer suffice, as the data format must comply with the European standard for electronic invoicing. In Germany, this currently includes the ZUGFeRD format, which is already used in both B2B and B2G contexts, and the XRechnung format, commonly utilized by companies for public procurement invoicing (B2G).
EDITEL, one of Europe’s leading EDI service providers, brings extensive practical experience to this field. According to a recent study by the German IT industry association “bitkom,” only 45% of surveyed companies are currently able to receive e-invoices, even though receiving such invoices will be mandatory starting January 1, 2025. On the outbound side, 55% of companies already use e-invoicing, with EDI formats dominating at 71%.
EU Commission estimates €41 billion in cost savings for businesses
The EU initiative not only introduces new regulations but also presents significant savings potential for businesses, particularly in accounting. According to the Global e-invoicing and tax compliance report (2024) by international consultancy Billentis, the potential for electronic invoices in the European B2B sector exceeds 10 billion e-invoices annually, with a rising trend.
In Austria, however, invoices are still predominantly sent on paper or as unstructured e-mail attachments. The authors of the Billentis report estimate that through the implementation of ViDA, the EU Commission expects Europe’s businesses to save €41 billion over ten years—equivalent to an annual cost-saving potential of €4.1 billion.
New e-Invoicing Competence Center prepares businesses for the future of e-invoicing
To proactively support local and European businesses in adapting to the new regulations and provide clarity on the various legal and technical requirements across EU countries, the internationally operating EDITEL Group has established a dedicated e-Invoicing Competence Center. Gerd Marlovits, CEO of EDITEL Austria at the company’s Vienna headquarters, explains: “As the “bitkom” study shows, the vast majority of German companies already using e-invoicing rely on EDI formats. EDI solutions have been our core expertise for 40 years. Whether it’s e-invoicing or the electronic transfer of data within a supply chain, we’ve built extensive EDI expertise in numerous European countries over the decades. We are now consolidating this knowledge within our e-Invoicing Competence Center. Our Competence Center will provide businesses with strategic consulting on e-invoicing and e-reporting, helping them implement modern digital solutions in a timely and efficient manner.”
Reach all business partners ViDA-compliant with one connection
Through its new e-Invoicing Competence Center, the EDITEL Group supports all variations of national e-invoicing models. “This means that with just one connection to EDITEL, businesses can access all their trading partners, regardless of their e-invoicing standards or systems,” explains Tomasz Kuciel, Head of the e-Invoicing Competence Center at EDITEL. “We assist companies in the B2B and B2G sectors with the legally compliant creation, validation, conversion, and transmission of electronic invoices. Moving forward, PDF invoices sent via e-mail will no longer be accepted—only e-invoices in a structured electronic data format that can be processed automatically will meet the new requirements.” With EDITEL’s central data hub, eXite, virtually any company worldwide can be reached. This EDI platform, which processes hundreds of millions of transactions annually, is already used by more than 50,000 businesses across Europe and beyond. In addition, EDITEL provides access to the European PEPPOL network (Pan-European Public Procurement Online), which is especially relevant in certain EU countries for e-invoices issued to public administrations (B2G).
E-invoicing is just the tip of the iceberg
The future of electronic invoicing in Europe could pave the way for a more connected and digital economy. After all, an invoice is more than just a request for payment—it represents the final step in a complex series of business communications.
“A structured e-invoice is just the tip of the iceberg, beneath which lies a multitude of processes—from order placement to delivery confirmation,” says EDITEL CEO Gerd Marlovits. “The ViDA initiative will give significant momentum to the digitization of these upstream business processes,” he adds, looking toward the near future.
