Ireland advances mandatory e-invoicing under VAT Modernisation Programme

Preparing for the 2028 VAT e-invoicing deadline

Ireland has now taken a major step toward digital VAT reporting. Revenue has confirmed that large corporates will be the first businesses required to adopt e‑invoicing under Phase One of the VAT Modernisation Programme — a shift that will impact finance processes, ERP systems, and B2B transaction flows across the country.

Below is an overview of the confirmed changes, followed by practical actions businesses should consider now.

What’s changing under the VAT Modernisation Programme

On 10 February 2026, Revenue confirmed that, from 1 November 2028, Irish established VAT‑registered large corporates will be required to comply with e‑invoicing and digital reporting requirements as part of Phase One under Ireland’s VAT Modernisation programme.

This means that large corporates must issue valid e-invoices and report data to Revenue relating to domestic B2B transactions. Valid e-invoices must be in a structured electronic format such as XMLs that complies with European Standard EN16931.

PDFs and scanned invoices will not be permitted as e-invoices.

At the same time, all businesses, regardless of size, must be able to receive valid e-invoices by 1 November 2028 where the supplier is obliged to issue an e-invoice.

Phase Two, which will be effective from 1 November 2029, will apply to all VAT‑registered businesses engaged in intra‑EU trade.

Large corporates will need upgraded systems, as traditional PDF‑based invoicing will no longer be compliant.

Businesses of all sizes will be affected, even if they are not issuing e‑invoices yet, because they must still be able to receive them.

This shift marks the beginning of a broader, multi‑year digitalisation of VAT reporting in Ireland and across the EU.

How to prepare for VAT e-invoicing

Revenue has confirmed that it will begin reaching out to large corporates confirming their inclusion in Phase One.

In the meantime, all businesses should begin reviewing finance and ERP systems early, including engaging with software providers, and assess any gaps that may delay e‑invoicing capabilities by 1 November 2028.

Acting now will provide experience ahead of the broader e-invoicing and digital reporting requirements under the ViDA Directive, to be effective for all businesses from 1 July 2030.

Why early e-invoicing preparation matters

Adopting e‑invoicing early will help businesses: 

• Avoid last‑minute system changes as deadlines approach.
• Test internal processes with suppliers and customers.
• Improve compliance, reduce manual errors, and streamline VAT reporting.
• Prepare for EU‑wide obligations coming in 2030.

Need e-invoicing or VAT reporting support?

Should you have any questions or would like to discuss how this impacts your business, please reach out to a member of the VAT team at RSM Ireland.