Croatia is expanding its digital tax reform through a nationwide e-Invoicing mandate. Since 2019, electronic invoicing has been mandatory for B2G transactions. With the adoption of the new Fiscalization Law in 2025, this obligation is now being extended to include domestic B2B transactions.
Starting in 2026, VAT-registered businesses in Croatia will be required to issue and receive e-Invoices for all B2B and B2G transactions. These invoices must comply with the European EN 16931 standard and will be subject to real-time clearance by the Croatian Tax Administration.
Scope, Timeline, and Regulatory Authority
The new e-Invoicing mandate applies to a range of taxpayers and transaction types, and there will be a phased transition in two years.
- All VAT-registered businesses must issue and receive structured e-Invoices for domestic B2B and B2G transactions starting January 1, 2026.
- Non-VAT registered entities (including income taxpayers, profit taxpayers, and public sector users) must:
- Be able to receive and report e-Invoices from January 1, 2026
- Begin issuing and reporting e-Invoices from January 1, 2027
- Be able to receive and report e-Invoices from January 1, 2026
- B2C transactions are not subject to e-Invoicing but will be subject to mandatory reporting under the fiscalization system, regardless of payment method (cash, card, bank transfer, PayPal, etc.).
Key dates:
- September 1, 2025: Test environment for B2B and B2G e-Invoicing becomes available
- January 1, 2026: Mandatory e-Invoicing for all VAT-registered B2B and B2G transactions
- January 1, 2026: Online B2C payments come under mandatory fiscal reporting
- January 1, 2026: Non-VAT registered entities must receive and report e-Invoices
- January 1, 2027: Non-VAT registered entities must issue and report e-Invoices
The reform is overseen by the Ministry of Finance and the Tax Administration (Porezna uprava) of Croatia.
Submission Method and Format Requirements
Croatia will implement a real-time clearance model based on a decentralized CTC framework. Businesses must submit invoice data to the system prior to delivery to the recipient.
Invoices must be sent to the Tax Administration for validation before they can be delivered.
A new platform called e-Reporting will handle submission and enable recipients to reject invoices if necessary.
Format and technical details:
e-Invoices in Croatia must comply with the European semantic standard EN 16931 and are expected to follow the UBL 2.1 (XML) syntax. In addition to the EU norm, Croatia will publish its own national CIUS (Core Invoice Usage Specification) to define local extensions and specific data requirements.
How Can SNI Help You?
SNI’s Croatia e-Invoicing solution is an end-to-end solution. That means retrieving data from the customer’s ERP system, data mapping, processing, and communication with tax authorities can be performed under a single solution. With our SNI solution, within your ERP system, end users will be able to extract the financial data and convert it to the XML file simply and automatically, which the key user can monitor in the user-friendly SNI cockpit.
SNI’s solution provides complete support for both outbound and inbound invoices. Outbound invoices are transmitted to the tax authorities through official APIs or web services. Similarly, for inbound invoices (issued by suppliers to clients), the solution automatically retrieves data at regular intervals using the appropriate APIs or web services provided by the tax authorities.
SNI solution integrates with clients’ systems without the need for updates to existing system versions and is independent of SAP versions. SNI’s SAP solution is compatible with SAP ECC 4.7 and above, as well as SAP Business Technology Platform (BTP), SAP R3 and SAP S/4HANA. In addition, SNI provides ERP-independent solutions designed to integrate with any ERP system clients may use.