The Act on e-Invoicing in public procurement which entered into force on November 1, 2018, obliged all public procurement entities to receive and process e-Invoices as of December 1, 2018. The Act also presented the obligatory issuance of e-Invoices for suppliers of public administrations as of July 1, 2019. That is to say, for B2G, all suppliers must issue e-Invoices when engaging in procurement with public authorities. However, there is no mandatory issuing of B2B e-Invoices.
Fiscalization Project 2.0 launched by the Croatian Tax Authority, targets to modernize the tax system in Croatia while introducing a new system for e-Invoicing, e-archiving and online bookkeeping. To manage this, The Ministry of Finance has officially applied to the European Commission to derogate Article 218 and 232 of the 2006 VAT Directive. This is going to allow Croatia to introduce obligatory e-Invoicing across the country.
It has been anticipated by the Croatian government that mandatory e-Invoicing in B2B transactions will enter into force as of January 1, 2026. It will cover domestic transactions between resident taxpayers. The buyer’s consent is required to receive e-Invoices. For cross border transactions, paper invoices will be valid.
As of today, there is voluntary issuance of B2B e-Invoices through the national platform, namely eRačun. The FINA Agency which is the national authority responsible for the transmission of e-Invoices countrywide. FINA is a Peppol access point and direct integration to the eRačun is made through Peppol. In fact, simply registering to eRačun enables businesses to outsource their e-invoicing and e-reporting processes and the exchange of e-invoices with other companies that are registered on the platform.
