Lisa Lokasto

Revenue announces plans for the implementation of VAT in the Digital Age (ViDA) requirements These changes are designed to modernise the VAT system across Europe and make it fully digital.

What’s Changing

Under ViDA, all business-to-business (B2B) transactions across the EU will move to eInvoicing and real-time digital reporting.

This means that, instead of sending .pdf invoices or emails, invoices will be sent and received directly between accounting systems in a structured digital format ( known as an “eInvoice”).

In simple terms:
eInvoices are not PDFs or emails
They are system-to-system communication where the data moves automatically between businesses and Revenue

This will reduce errors, cut down on fraud, and remove the need for manual data entry. It also means every business needs to be on a digital system, and that bring costs in terms of the software itself and also the training.

The Rollout Timetable

Revenue plans to introduce eInvoicing in stages:

• Phase One – November 2028:
  Large VAT-registered companies will need to issue and report eInvoices for domestic B2B transactions.
• Phase Two – November 2029:
  All VAT-registered businesses that trade across EU borders will be required to use eInvoicing.
• Phase Three – July 2030:
  All cross-border EU B2B transactions will need to be fully digital.

From November 2028, every business (including those that are VAT exempt) will need to be able to receive and read eInvoices digitally.

What This Means in Practice

This change will effectively make manual bookkeeping and paper or Excel based systems obsolete.

Keeping a manual creditors list, using spreadsheets, or preparing accounts based only on bank transactions will no longer work once eInvoicing comes in.

All invoice data will need to flow directly through a digital accounting system that can communicate with other systems and with Revenue.

If your business is still working manually or mainly in Excel, now is the time to start planning how to move to a proper digital setup.

Don’t Be Fooled by the 2030 Deadline

It’s easy to think you have until 2030 to worry about ViDA, but in reality, the key date is November 2028.
That’s when every business will need to have a digital system capable of receiving eInvoices.

November 2028 is not far away, especially if your business currently uses manual processes.
You’ll need time to choose software, set it up, train staff, and adjust how you work. If you’re still on a manual setup, getting from where you are now to where you need to be by 2028 involves a lot of work, so you’d certainly be better off getting started early. Businesses that are already on a system are in a much stronger position.

What To Do Now

Revenue will release further guidance in due course, but it’s important to start preparing early. You can do this by reviewing your systems, speaking with your software provider or looking into one but most importantly, you need to start budgeting for any necessary upgradesa and training.

The reality is that every business will need to move onto a digital accounting system. Acting early gives you time to plan it and train up, rather than rushing to catch up when the deadline arrives.

If you’re not sure where to begin or would like help assessing your options, get in touch. I’m happy to help you plan ahead.

-Lisa