The EU Commission has published a proposal for a Council Implementing Decision, on 13 January 2024, authorising Greece to introduce a special measure derogating from Articles 218 and 232 of Directive 2006/112/EC to be able to impose mandatory electronic invoicing for transactions between taxable persons established in Greece (B2B transactions).

Greece submitted a request for derogation, based on Article 395 of the VAT Directive, to be authorised to implement an obligation to issue electronic invoices for transactions between taxable persons established on 2 July 2024.

Greece has in place a digital platform called myDATA. Entities obliged to keep accounting records, in accordance with the Greek legislation, must transmit income and expense transaction data to this platform.

Currently, there are different channels that can be used to transmit the data to the platform. Once the mandatory electronic invoicing is implemented in Greece, electronic invoices will be the main channel for this transmission, with their data directly feeding the myDATA platform. As a result, the information will arrive in real-time and with a high level of quality, making it easier and faster for the tax administration to detect cases of VAT fraud. Further, the information received will be used to prepare prefilled VAT returns, helping businesses to comply with their VAT obligations.

In addition, the creation of a digitised tool for the transport of goods is in progress, utilising the capabilities of the myDATA digital platform. This tool aims to digitally monitor all goods being delivered in real time. To achieve this objective, the institutional framework regarding the electronic issuance of documents for the transport of goods was put in place in 2024, and the implementation of an operational and technical framework is being prepared, to facilitate the compliance of taxable persons.

The different measures implemented so far have helped Greece to reduce its VAT gap. According to the VAT gap in the EU report, published by the European Commission, the VAT compliance gap has reduced from 29.1% in 2017 to 17.8% in 2021, and the forecast for 2022 envisages a steep decrease in that figure. According to the Greek authorities, the introduction of mandatory electronic invoicing will help to further reduce this figure, as it can be an important instrument towards the fight against circular or “carousel” fraud, allowing the tax authorities to identify the involved parties within a shorter time.

This Decision shall apply from 1 July 2025 until the earlier of  30 June 2026; or  the date from which Member States are required to apply any national provisions transposing a directive amending Directive 2006/112/EC, in particular Articles 218 and 232 thereof, as regards VAT rules for the digital age, in the event that directive is adopted.