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Automate invoice receipt
Incoming XRechnung files are read in structurally, matched to the purchase order automatically and routed for approval — with no re-keying.
Microsoft & Business Central
E-Invoicing in Business Central — XRechnung, ZUGFeRD & Peppol
Since 1 January 2025 every domestic German company must be able to receive and process B2B e-invoices — with no transition period. For outgoing invoices the grace period is running out: from 2027 the issuing obligation applies to companies with more than €800,000 prior-year turnover, from 2028 to everyone. We set up Business Central so that XRechnung, ZUGFeRD and Peppol run cleanly — inbound and outbound.
The e-invoicing obligation is often misread as a question of file formats. In reality it is a process topic: an e-invoice is a structured data record that can be evaluated automatically — a PDF sent by email explicitly does not meet the requirement. Anyone who does not process incoming invoices in a structured way loses exactly the efficiency gain the law was made for and instead produces manual rework.
Two formats dominate in Germany: XRechnung as pure XML and ZUGFeRD as PDF/A-3 with embedded XML. From ZUGFeRD version 2.0.1 both generally satisfy the VAT requirements — the MINIMUM and BASIC-WL profiles do not, however, because they do not represent a complete invoice. Details like these decide whether an invoice is accepted in the event of an audit. We clarify up front which format suits your customers and suppliers, and document the decision traceably.
Business Central provides the right foundation with its E-Document framework: the German localisation supports XRechnung, Peppol BIS 3 and ZUGFeRD, including connection to the Peppol network for automated dispatch. We configure document formats, dispatch routes and validation, set up structured invoice receipt with matching to purchase orders and an approval workflow, and test with real documents from your business partners before going live. On request we combine this with audit-proof archiving in line with German GoBD rules.
Concrete deliverables
Set up XRechnung, ZUGFeRD and Peppol BIS 3 in Business Central
Structured invoice receipt with PO matching and approval workflow
Automated dispatch via the Peppol network
Format and validation checks before going live
Connection to existing systems and DMS/archive (GoBD)
Training for accounting and key users
Use cases
What this looks like in practice.
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Outgoing invoices from 2027
Switching outgoing invoicing to structured formats well before the issuing obligation — including customer communication.
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Public sector clients
XRechnung dispatch to public authorities and contracting bodies via Peppol, properly validated and logged.
How we proceed
Step by step.
Inventory: formats, partners, volumes
Format and process decision, documented
Setup in Business Central and test run
Go-live, training and ongoing support
This overview does not replace tax or legal advice. Deadlines and requirements follow from German legislation and Federal Ministry of Finance guidance; we align the implementation with your tax adviser.
FAQ
Frequently asked questions.
Still have open questions? We're happy to clarify them in an initial call.
- For receiving, no: since 1 January 2025 domestic German companies must be able to accept and process structured B2B e-invoices. For sending there is a transition period — until the end of 2026 paper and PDF may still be used with the recipient's consent. From 2027 that option ends for companies with more than €800,000 prior-year turnover, from 2028 for everyone.
- It depends on your recipients. XRechnung is pure XML and the standard in the public sector. ZUGFeRD from version 2.0.1 combines a readable PDF with embedded structured data and is often more practical in B2B, because recipients without processing software can still read the invoice. The ZUGFeRD MINIMUM and BASIC-WL profiles do not meet the requirements. We decide together based on your customer base.
- In most cases yes. The E-Document framework in the German localisation covers XRechnung, Peppol BIS 3 and ZUGFeRD; the exact feature set depends on your release level, though. For older versions or NAV installations we check whether an update or upgrade is the faster route to compliance.
- Peppol is a European network for the standardised exchange of electronic documents — comparable to a delivery network for invoices. It is not mandatory, but it saves bilateral arrangements with every business partner and is widespread among public sector clients. Business Central supports Peppol natively.
Is a PDF invoice by email still enough?
XRechnung or ZUGFeRD — which should we use?
Can we implement this with our existing Business Central version?
What is Peppol and do we need it?
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Let's talk about your project.
Free initial consultation, 30–45 minutes, remote. An honest assessment — even if the answer is that you don't actually need it.