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Lithuania has actively implemented e-invoicing as part of its digital transformation strategy to enhance financial transparency, reduce tax fraud, and streamline business operations. The country has fully mandated e-invoicing for public sector transactions, ensuring compliance with EU regulations and fostering greater efficiency in government procurement processes.
While e-invoicing for B2B transactions remains voluntary, Lithuania’s government has introduced incentives and initiatives to encourage businesses to transition to digital invoicing. The widespread use of Peppol and the country’s national e-invoicing platform ensures seamless integration with European financial networks, allowing businesses to conduct both domestic and cross-border transactions with greater ease.
Regulatory authority
The State Tax Inspectorate of Lithuania (VMI) oversees e-invoicing implementation and compliance.
E-invoicing requirements
Since July 1, 2017, all public sector entities in Lithuania must be capable of receiving and processing electronic invoices. Government suppliers must issue e-invoices for all public procurement contracts. While e-invoicing remains voluntary for B2B transactions, businesses are encouraged to adopt it to improve efficiency and compliance with EU standards.
Accepted invoice formats
Invoices must be issued in UBL XML or Peppol BIS format, ensuring compliance with European e-invoicing regulations.
Transmission channels
Invoices must be submitted via the Lithuanian National e-invoicing Information System (E. Sąskaita) or Peppol for international transactions.
Digital signatures
Digital signatures are not mandatory but may be applied to enhance security and authenticity.
Archiving requirements
Invoices must be archived for ten years in accordance with Lithuanian tax regulations.
How B2B e-invoicing works in Lithuania
Businesses generate invoices in UBL XML or Peppol BIS format and submit them via Peppol-certified networks or private e-invoicing platforms. While voluntary, e-invoicing adoption is increasing due to its efficiency and tax compliance benefits.
How B2G e-invoicing works in Lithuania
Invoices must be issued through E. Sąskaita, validated by public authorities, and archived for ten years. The platform ensures compliance with Lithuania’s financial reporting obligations.
