XRechnung vs ZUGFeRD in Germany 2026: Differences, Requirements and Which Format You Need

Since 1 January 2025, Germany's B2B e-invoicing mandate is in effect. If your GmbH or freelance business invoices other companies, you need to be able to send and receive structured electronic invoices. The two dominant formats are XRechnung and ZUGFeRD — and many founders aren't sure which one they need. Here's a clear breakdown.

What is XRechnung?

XRechnung is a purely machine-readable XML format. It contains all invoice data in a structured XML file — with no human-readable visual display. XRechnung is the German government's official format for B2G (business-to-government) invoices and has been mandatory for invoicing federal authorities since 2020. It conforms to the European standard EN 16931. It cannot be "viewed" like a PDF — it must be processed by compatible software.

What is ZUGFeRD?

ZUGFeRD (Zentraler User Guide des Forums elektronischer Rechnungen Deutschland) is a hybrid format: a PDF file with embedded XML. The invoice looks like a normal PDF for the recipient, but simultaneously contains all data in machine-readable XML format embedded inside. The current version is ZUGFeRD 2.3, which conforms to EN 16931 and is compatible with the French Factur-X standard.

Key Differences Between XRechnung and ZUGFeRD

At a glance:

• Human-readable: ZUGFeRD has a PDF view; XRechnung is pure XML with no visual display.
• Government invoices: XRechnung is required for federal government invoices; ZUGFeRD is accepted when the embedded XML is fully compliant.
• File format: XRechnung = pure XML file; ZUGFeRD = PDF/A-3 with embedded XML.
• Profiles: ZUGFeRD has multiple profiles (Minimum, Basic, EN16931, Extended); XRechnung is a single standard.

Who Needs Which Format?

• Federal government invoices: XRechnung is mandatory.
• B2B invoices from 2025: Must be EN 16931-compliant. Both XRechnung and ZUGFeRD (EN16931 or Extended profiles) qualify.
• For most GmbHs and freelancers in B2B: ZUGFeRD is the more practical choice — you get a PDF that can be sent, viewed, and archived, while the embedded XML satisfies the legal requirement.

Germany's E-Invoicing Mandate Timeline

The phased rollout:

• Since 1 January 2025: All German B2B businesses must be capable of receiving e-invoices.
• From 2027 (turnover ≥ €800,000): Mandatory to issue e-invoices.
• From 2028: Mandatory issuance for all businesses.

Recommendation: Adopt ZUGFeRD or XRechnung now, before the issuance mandate kicks in. Getting the right software in place early eliminates last-minute scrambles.

How to Create Compliant E-Invoices

The simplest approach is accounting software that generates ZUGFeRD or XRechnung automatically — you create your invoice as normal, and the compliant file is produced for you. For XRechnung, the official KoSIT validator lets you check files before sending them.

Conclusion

XRechnung and ZUGFeRD are Germany's two dominant e-invoice formats. Use XRechnung for government invoices; ZUGFeRD for B2B. Both must comply with EN 16931. Norman supports both formats — you create your invoice as normal, and the compliant e-invoice file is generated automatically.