Spain has made significant strides in digital transformation, particularly in the area of e-invoicing. The implementation of electronic invoicing systems has been crucial for enhancing efficiency, transparency, and compliance in both public and private sectors. Here’s a detailed overview of the current e-invoicing situation in Spain, focusing on B2G (business-to-government) and B2B (business-to-business) transactions.

B2G E-Invoicing: Mandatory Since 2015

Since January 1, 2015, e-invoicing has been mandatory for all suppliers to public entities in Spain. This requirement aims to streamline the invoicing process and reduce administrative burdens for both businesses and government agencies.

Key Features:

• Central Platform: The Spanish government established the FACe (Factura Electrónica) platform as the central hub for processing electronic invoices. All suppliers to public entities must issue invoices electronically through this platform.

• File Formats: Invoices must be submitted in the FacturaE file format, which requires a digital signature for authentication. The platform also accepts the CIUS-SP format, compliant with the European Norm (EN) 16931.

• Regional Variations: Although Spain operates under a centralized framework, it grants significant autonomy to its regions. As a result, the use of FACe and the FacturaE file format is mandatory only for central administrations. Local administrations, while encouraged to adopt these standards, may have different practices. Most regions, except for Basque Country, utilize FACe, but some local administrations may not be reachable through this platform.

• Basque Country Exception: The Basque Country has implemented its own platform, Ticket BAI, along with its specific file format, TBAI, which is also XML-based. Furthermore, each of the three provinces within the Basque Country may have variations in their B2G mandate timelines.

• Archiving Requirements: All e-invoices must be archived for a minimum of 6 years.

B2B E-Invoicing: Future Mandates

Currently, there is no mandatory e-invoicing requirement for B2B transactions in Spain. However, significant developments are on the horizon.

Upcoming Regulations:

• In September 2022, the Crea y Crece law was published, which outlines the future mandate for B2B e-invoicing on a country-wide basis. The phased roll-out was initially scheduled for 2024 and 2025, prioritizing large companies first, followed by smaller businesses.

• Due to delays in the legislative process, no specific timeline is available yet, but the mandate is expected to begin in early 2026.

Available Platforms:

• Since 2018, a central platform called FACeB2B has been available, designed for exchanging invoices in the FacturaE format. This platform primarily serves subcontractors of public suppliers, allowing them to comply with e-invoicing standards ahead of the official mandate.

• Until the B2B e-invoicing mandate is implemented, businesses can still transmit invoices using various methods:

• Paper-based invoices

• PDF invoices with electronic signatures or a complete audit trail

• Electronic Data Interchange (EDI)

Archiving Requirements

Similar to B2G transactions, all B2B e-invoices must be archived for 6 years. This ensures that businesses remain compliant with tax regulations and are prepared for audits.

Benefits of E-Invoicing in Spain

1. Enhanced Efficiency: E-invoicing reduces the time and resources spent on manual processing, allowing businesses to streamline their operations.

2. Cost Savings: By transitioning to electronic invoicing, companies can reduce expenses related to paper, printing, and postage.

3. Faster Payments: E-invoicing facilitates quicker invoice processing and approval, improving cash flow for businesses.

4. Improved Compliance: Adopting e-invoicing helps companies comply with Spanish tax regulations, minimizing the risk of errors and penalties.

5. Transparency: The use of a central platform like FACe enhances transparency between businesses and public administrations, supporting better governance.

Spain’s e-invoicing landscape is evolving, particularly with the upcoming B2B mandate expected to take effect in 2026. The existing B2G requirements have laid a solid foundation for this transition, ensuring that both public entities and businesses benefit from improved efficiency and compliance. As companies prepare for the forthcoming changes, embracing e-invoicing will be essential for staying competitive and compliant in the modern digital economy.