XRechnung 4.0: What You Need to Know Now

The German e-invoicing standard XRechnung is being further developed this year with XRechnung 4.0. This version represents the most comprehensive update since the standard’s introduction in 2017.

But why is this change happening? The reason is a new update at the European level (the EN 16931-1:2026 standard). For businesses, this means a significant improvement and simplification in the creation of e-invoices.

What exactly is XRechnung 4.0?

XRechnung is one of the formats used in Germany for structured electronic invoices. In the past, this was relevant almost exclusively for invoices sent to government agencies or authorities. However, with the mandatory e-invoicing requirement, businesses (B2B) must also deal with it. KoSIT (Coordination Office for IT Standards) regularly updates the system. Currently, version 3.0.2 is still in use, and XRechnung 4.0 will soon be released as an update.

This is not just a minor update, but brings far-reaching changes that will overhaul the entire model. The reason for this is a new European standard (EN 16931-1:2026), which means that XRechnung in Germany must also be adapted.

The goal is clear: invoices should become more transparent, structured, intelligent, and machine-readable, so that processes can be designed more efficiently and errors can be detected more easily. In this blog post, we explain what’s new in XRechnung 4.0 and how you can prepare for it.

What changes can we expect?

EU Standard: One Language for All of Europe

The most important part of the XRechnung 4.0 update is the new data model (EN 16931-1:2026). Fields in the invoice are now sorted differently, and there are new features. So it’s much more than just a minor update to the old version.

Until now, almost every EU country has had its own rules for e-invoices. This often leads to problems, especially when it comes to data export. If the systems aren’t compatible, errors can occur. That changes with version 4.0, because Europe is getting a standardized “invoice language.” This makes cross-border collaboration much easier.

In addition, invoices are now checked more strictly. If a required field is empty or information is incorrect, the system detects this immediately and rejects the invoice. This may sound strict at first glance, but it helps identify errors right away. In the future, processes are intended to be automated, secure, and standardized across Europe.

More Required Fields and Structure

In the past, a lot of information was entered into a general text field. The problem with this is that a computer cannot read this “free text” in a structured way. Employees often had to search for the information manually and type it in – which takes a long time and is prone to errors.

With version 4.0, there are now fixed required fields for almost everything. An important example is the delivery or service period (BT-73). While this information was previously often entered freely in the text field, it must now be entered in a clearly defined field. This allows systems to recognize the data directly and, ideally, process invoices automatically and error-free.

Improved Tax Logic

There are also new developments regarding taxes. While tax codes already existed previously, they have become significantly more precise with version 4.0. New additions include, for example, standardized VATEX codes for specific tax exemption reasons. This way, the system immediately knows which tax rate applies to cross-border transactions and whether an invoice might be tax-exempt. This significantly reduces the workload.

Consolidated invoices are finally possible!

Many companies have been waiting for this feature. Previously, there was a very strict rule: a separate invoice had to be issued for every delivery or order. In practice, this was often impractical and time-consuming.

With XRechnung 4.0, this becomes more flexible. Now you can combine multiple deliveries or orders into a single invoice. For example, a consolidated invoice can be created at the end of the month for all orders. This saves time and reduces errors in accounting.

Typing out attachments

Previously, delivery notes or timesheets were usually simply attached to the e-invoice as PDFs. While the system recognized the invoice total, it did not recognize the details in the attachment. The PDF had to be opened manually, and the data had to be compared or transferred by hand.

With XRechnung 4.0, attachments can now be added directly to the invoice as XML data. The information in the attachment is therefore just as readable by the software as the invoice itself. So instead of laboriously checking whether the quantities on the delivery note match the invoice, the system will be able to automatically reconcile this in the future. This not only saves time but also eliminates typos.

What happens with ZUGFeRD?

Many of you are already using ZUGFeRD. This is a PDF file in which an XML file has been embedded. It is easy to read, and the system can access the data in the background at the same time.

Since ZUGFeRD is also based on EU requirements, there will be an update here as well, in line with XRechnung 4.0. The responsible forum (FeRD) is currently preparing this. During the transition period, version 2.4 will continue to function as usual. Nevertheless, it’s worth keeping an eye on the upcoming update to ensure that everything continues to run cleanly, securely, and smoothly from a technical standpoint.

Ready for the Future (ViDA and EU)

XRechnung 4.0 is essentially already a precursor to what the EU has announced under the name “ViDA” (VAT in the Digital Age). The goal is to transition the VAT system into the digital age. An important point: By 2030, a digital reporting system is to be established for all cross-border B2B transactions within the EU.

The goal is “real-time reporting.” This means the tax office receives all information almost the moment you send the invoice. Version 4.0 lays the groundwork to ensure the data is properly prepared and that there are no subsequent issues with the system.

If you’d like to learn more about ViDA, our colleagues Dennis Zielinski and Julia Barbara Krings have already written a blog post on the topic. Read all about ViDA and its background here.

XRechnung 3.0.2 vs. 4.0

To better understand the differences, the most important points are summarized in a table below.

What can you do now?

Check which version you are currently using. With XRechnung 3.0.2 or ZUGFeRD 2.4, you are currently on the safe side. However, if you are still working with older versions, you should plan an update soon to avoid problems in the Peppol network. Also, take a look at your master data. Since the new version is much more precise regarding required fields, it will save time later if the data in the system is already clean today.

A transition like this means extra work at first. But many features that are being updated (e.g., the new consolidated invoices) have been missing in daily practice until now. Don’t wait any longer. Checking your own data now will prevent time pressure later. Europe needs a system that works uniformly across borders. XRechnung 4.0 is the foundation for this.

How can you ensure a stress-free transition?

At adesso, we help you turn the transition into a real success strategy:

• Analysis: We examine your current processes and your IT landscape.
• Design: We develop a target vision that integrates XRechnung 4.0, ZUGFeRD, and ViDA.
• Roadmap: Together, we develop a roadmap that is legally sound and works in everyday practice.

We support you in setting up your e-invoicing landscape to be future-proof. Feel free to contact us!