Starting January 2027, businesses in Slovakia will be required to use structured e-invoices and engage in near real-time e-reporting to the tax authorities.
This initiative will follow a 5-corner Peppol model, which is aligned with the EU's VAT in the Digital Age (ViDA) framework, set to be implemented by July 2030.
On July 30, 2025, the Slovak Ministry of Finance launched a public consultation regarding the planned reforms for structured e-invoicing and e-reporting to the Financial Administration, offering the first draft of the law for review.
The Financial Administration aims to establish a decentralized e-invoicing model under the Peppol BIS 3 format, applicable to resident taxpayers for domestic supplies and imports, both from within the EU and from outside. This shift will result in the discontinuation of both domestic control statements and the intra-community ESLs starting in June 2030.
Implementation Timeline for Reporting Requirements
The implementation of Slovakia's reporting requirements will occur in three stages:
January 2027: Businesses will be required to send, receive, and store structured e-invoices for domestic B2B transactions in accordance with the EU EN16931 standard.
January 2027: Real-time reporting of these domestic transactions to the tax authorities will commence.
July 2030: The ViDA framework will necessitate e-invoicing and reporting for intra-community B2B transactions.
Currently, e-invoicing is mandated only for certain business-to-government (B2G) transactions exceeding €5,000, utilizing the new IS EFA government interface.
Updates to the VAT Act Regarding E-Invoicing
Amendments to the VAT Act will require taxpayers to issue and receive invoices in a specified electronic format starting January 1, 2027. An electronic invoice will be recognized as valid only if it contains the requisite information outlined by the VAT Act and is issued, sent, and received in a structured electronic format that facilitates automatic processing.
To ensure consistency, businesses will be obligated to issue invoices that comply with the European standard for electronic invoicing, as stipulated by Directive 2014/55/EU on electronic invoicing in public procurement. Effective January 1, 2027, taxpayers will also be required to report data from issued and received electronic invoices for domestic transactions. This reporting must align with the requirements in Article 4 of the Directive related to cross-border electronic invoice data submission within the EU.
Objectives of E-Invoicing Initiative
These changes aim to digitize the invoicing process from the creation by the supplier to processing by the customer, enabling a seamless electronic exchange of invoice data with the financial administration. The automation of these processes will significantly reduce reliance on manual data entry, expediting invoice receipt and processing.
The implementation of e-invoicing is expected to enhance the fight against tax fraud by improving tax compliance and collection efficiency. By allowing real-time access to electronic invoice data, the financial administration will be better positioned to monitor tax obligations and implement risk analysis mechanisms to prevent fraudulent activities.
For businesses, the shift towards e-invoicing will simplify operations, improve efficiency, and enhance the overall quality of the business environment. Standardization in electronic invoicing will facilitate faster data transmission and improve the reliability of communications in a currently fragmented landscape, characterized by varying standards and error-prone conditions.
Additional Regulatory Changes
In line with the Slovak government’s objective of combating tax evasion, additional amendments will take effect on January 1, 2026, targeting tax registration processes to prevent individuals from evading registration obligations and to avoid allowing individuals previously involved in fraudulent transactions back into the VAT system.
How Can KGT Support You?
KGT has created an SAP-integrated e-invoicing add-on solution for Slovakia, featuring outbound and inbound functionalities to meet tax reporting requirements. This add-on includes a data extractor and a cockpit for generating periodic electronic invoices in the legal format and controls before submission. When SAP DRC launched the Slovakian e-invoicing solution as part of its e-document offerings, KGT emerged as a leading consultancy firm for SAP DRC and tax services. Recognized as an SAP DRC partner for Slovakian e-invoicing services, KGT is one of SAP's recommended implementation partners for this solution. We provide comprehensive support, including installation, configuration, customization, and training, to help you maximize the long-term value of your SAP DRC investment.
KGT is an SAP partner for PE services and an SAP Build partner, and to become an SAP partner, strict due diligence requirements must be met, including having certified SAP consultants. You can find us at: https://partnerfinder.sap.com/profile/0001925409
