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Caution

You must use the Vertex e-Invoicing Messaging API to use this feature. This API is explained in the Vertex e-Invoicing Messaging API: Overview section.

Croatia uses a self-developed XML format to cover the Rejected e-Invoices reporting.

Mandate

Croatia is adopting a phased approach to mandatory e-invoicing across B2B and B2G transactions as part of its "Fiscalisation 2.0" initiative, spearheaded by the Ministry of Finance and the Tax Administration (Porezna uprava). As part of this initiative, the following key measures are planned:

• Establishment of a system for reporting non-cash invoices to the Tax Administration, specifically invoices currently issued to state administration bodies – i.e., fiscalisation of e-invoices issued in the B2G (Business to Government) segment.
• Implementation of a non-cash payment system via electronic invoice (e-invoice) in the B2B (Business to Business) segment, with an integrated e-archive and an active, unified, and advanced online VAT accounting system.
• Development of a free application for exchanging e-invoices, which will be made available to small taxpayers – for whom the cost of implementing such a system would otherwise be disproportionate to the benefits gained from this approach of doing business.

The Fiscalisation 2.0 Project aims to establish a comprehensive system for the fiscalisation of invoices exchanged within the business sector. The overarching goal is to deliver significant benefits to all stakeholders and business entities involved:

• Simplified tax reporting
• Reduction in the number of required forms (tax accounting), increased accuracy in fulfilling tax obligations, and significant pre-filling of obligations using data from the e-Invoice platform
• Transparent business practices and the ability to monitor payment deadlines and compliance
• Real-time insight into the business performance of individual taxpayers
• Up-to-date creditworthiness checks
• Contribution to environmental protection through the use of digital invoicing instead of paper-based invoice archiving
• Reduction in the number of invoice copies and archiving through internet intermediaries
• Ability to attach documents to invoices, reducing paperwork
• Improved interoperability among participants in the billing process
• Ability to track and link invoices, helping to prevent VAT refund-related tax fraud

This model is based on a decentralised approach to e-invoice exchange, leveraging the connectivity of access points and/or information intermediaries through prescribed network protocols (AS4). It also includes an API-based interface with the Tax Authority to enable near real-time invoice reporting and declaration.

Reporting of Rejected e-Invoices
The recipient of an e-invoice is required to submit data on all e-invoices rejected during the previous month to the Fiscalization System. The reporting deadline is the 20th day of the current month for rejections that occurred in the previous month.

This documentation covers the VRBL format requirements for the Reporting of Rejected e-Invoices.

Details

In this section