ViDA and VAT modernisation

VAT Modernisation Timeline

VAT Modernisation will be phased, giving businesses time to prepare, transition, and adapt to eInvoicing before the mandatory EU ViDA deadline.

For all phases businesses must ensure they can receive and process eInvoices from any supplier mandated to issue them.

Phase 1 (November 2028)

Value-Added Tax (VAT) registered large corporates will be required to implement mandatory eInvoicing and real-time reporting for domestic business-to-business (B2B) transactions.

This phase will impact relatively few businesses who may already have international eInvoicing experience and are well-suited to adapt to digital changes.

Phase 2 (November 2029)

The domestic obligation will extend to VAT registered businesses who engage in cross border EU B2B trade, subject to Zero rate VAT arrangements.

This timing provides these businesses with time to familiarise themselves with the new arrangements domestically before the EU-wide system (ViDA) becomes mandatory.

Phase 3 (July 2030)

Full implementation of EU ViDA requirements for all cross-border EU B2B transactions becomes mandatory across all Member States. Irish businesses already operating under the domestic system will transition to meet these EU obligations.

Next: Next steps for VAT in the Digital Age (ViDA)