- Between 2016 and 2018, Estonia, Latvia, and Finland jointly built a cross-border electronic invoicing system based on the European PEPPOL network and the European invoicing standard (EN 16931), with partial funding from the European Union.
- Their model is different from that of Albania: a shared network where private operators exchange invoices between countries, as opposed to the direct, real-time reporting of every transaction to the tax administration, as the Albanian fiscalization system has operated since 2021.
- Both approaches aim for the same goal: fewer papers, fewer errors, and real-time trackable transactions, but tailored to the needs of each market.
In July 2019, the European Commission published a case study on the “Internet of Business” project, a collaboration between Estonia, Latvia, and Finland to build a common cross-border electronic invoicing system. The project was supported by the European Commission's Connecting Europe Facility (CEF) program and used the PEPPOL network and the European electronic invoicing standard EN 16931.
From our daily work, we see that many Albanian businesses are familiar with domestic fiscalization, but they don't know that other European countries have taken slightly different paths toward the same goal: the full digitalization of invoicing between businesses.
Read also: Taxation and invoicing, our complete guide.
How did the Estonian project work?
A joint network among three countries
The Estonian Information Technology and Telecommunications Association (ITL) sought partners in neighboring countries and formed a consortium with billing operators from Estonia and Finland, as well as with the corresponding Latvian association. The technical project was implemented between June 2017 and August 2018, and set up electronic invoices to circulate via PEPPOL access points, an existing network that connects its participants across multiple European countries simultaneously.
A targeted decision for the private sector
An important decision by Estonia was to leave invoice processing to private operators, without the state developing this service itself, precisely so as not to harm a market where the private sector was already active. According to the project manager herself, Sirli Heinsoo, the logic was that if a company can be opened in Estonia in under 20 minutes, its day-to-day management should be just as simple.
Every time there is a tax or financial change that affects your business, we notify you directly by email with a practical explanation.
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Two different models, the same goal.
Albania chose a different path from that of the Baltic-Nordic trio. Instead of a shared network among private operators like PEPPOL, the Albanian e-invoicing system, in full effect since 2021, requires direct, real-time reporting of every transaction to the tax administration through the central e-invoicing system. Both models aim for the same end result: less paperwork, fewer errors, and easily traceable transactions, but tailored to the size and structure of each market.
How we handle this with our clients
Regardless of the model chosen by each country, the principle remains the same: businesses benefit when invoicing and reporting are automated. We help our clients fully leverage the capabilities of the Albanian e-invoicing and e-faktoring system so they can save time and reduce the risk of manual errors.
Frequently asked questions
Does Albania use the PEPPOL system?
No. Albania has its own e-invoicing and fiscalization system, which is different from the PEPPOL network used by some European Union countries.
Why is Estonia used as an example in this article?
Because it shows that the digitization of billing is a common European trend, not a feature unique to Albania, and that different countries address this challenge with models tailored to their own markets.
Where can I find the rules of Albanian fiscalization?
In our complete guide on fiscalization and invoicing, linked above, which is updated with every legal change or guideline.
