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.

In short: XRechnung or ZUGFeRD?

• XRechnung is a pure XML file with no visible PDF view. Mandatory for invoices to public authorities (B2G).
• ZUGFeRD is a hybrid format: a normal-looking PDF with embedded XML. The pragmatic choice for most B2B invoices between companies.
• Both conform to the European standard EN 16931 and are valid for the e-invoicing mandate. A plain PDF without structured XML does not count as an e-invoice.
• Rule of thumb: invoicing an authority, use XRechnung. Invoicing a company, ZUGFeRD is usually more convenient, because your customer sees a readable PDF while your software reads the data automatically.

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. The currently valid version is XRechnung 3.0.2.

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 embedded inside. The current version is ZUGFeRD 2.4 (in force since January 2026), and ZUGFeRD 2.5 was already released in June 2026. ZUGFeRD conforms to EN 16931 and is technically identical to the French Factur-X standard, so a ZUGFeRD invoice is understood in France too.

XRechnung vs ZUGFeRD: The differences at a glance

The decisive difference is readability: ZUGFeRD shows the recipient a familiar PDF, while XRechnung is not readable at all without the right software. Legally the two are equivalent, as long as the embedded XML conforms to EN 16931.

Which format do you need? The decision at a glance

The rule of thumb: the recipient determines the format. For authorities there is no way around XRechnung. In normal B2B business you are free to choose, and ZUGFeRD is usually the more comfortable option because your customer can open the invoice without any special software.

ZUGFeRD profiles: Which ones count for the mandate?

Not all ZUGFeRD is the same. The format defines six profiles with different levels of data. Only the profiles with a complete invoice content meet EN 16931, and therefore the e-invoicing mandate.

Important: make sure your software produces at least the EN 16931 profile. The leaner Minimum and Basic WL profiles do not entitle the recipient to deduct input VAT, because they don't contain a complete invoice.

Who needs which format?

• Invoices to federal authorities (B2G): XRechnung is mandatory. ZUGFeRD is only accepted when the embedded XML matches the XRechnung profile.
• B2B invoices from 2025: Must be EN 16931-compliant. Both XRechnung and ZUGFeRD (EN 16931 or Extended profiles) qualify.
• For most GmbHs and freelancers in B2B: ZUGFeRD is the more practical choice, because you get a PDF that can be sent, viewed, and archived, while the embedded XML satisfies the legal requirement.
• Invoices to private individuals (B2C): No e-invoicing obligation applies here. A classic PDF is enough.

As a small business under §19 UStG (Kleinunternehmer) you don't have to issue e-invoices yourself, but since 2025 you must be able to receive and archive them.

Germany's e-invoicing mandate timeline

The obligation to receive has applied without exception to every domestic business since 1 January 2025. For issuing e-invoices, staggered transition periods apply instead, depending on the previous year's turnover.

Recommendation: adopt ZUGFeRD or XRechnung now, before the issuance mandate kicks in. Getting the right software in place early eliminates last-minute scrambles and lets you get used to the new format calmly.

How to create compliant e-invoices

The simplest approach is accounting software that generates ZUGFeRD or XRechnung automatically, so 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. Our e-invoicing software comparison helps you choose.

Step-by-step guides for both formats: how to create an XRechnung and how to create a ZUGFeRD invoice.

Frequently asked questions about XRechnung and ZUGFeRD

Is ZUGFeRD an e-invoice?

Yes, provided the embedded XML matches at least the EN 16931 profile. Then a ZUGFeRD invoice counts as a full e-invoice under EN 16931 and satisfies the mandate. The Minimum and Basic WL profiles are not sufficient.

Is a PDF an e-invoice?

No. A normal PDF without embedded structured data is legally an "other invoice", not an e-invoice. Only the machine-readable XML, as in ZUGFeRD or XRechnung, turns a PDF into a valid e-invoice.

Can I open and read an XRechnung?

Not without help. An XRechnung is pure XML and appears only as code without a viewer. To read it you need compatible software or an XRechnung viewer. ZUGFeRD avoids this problem, because the PDF view is always visible.

Which format should I use as a freelancer?

For invoices to other companies, ZUGFeRD is usually the most practical: your customer receives a readable PDF and you meet the obligation at the same time. Only if you invoice authorities do you need XRechnung.

Is ZUGFeRD internationally valid?

ZUGFeRD is technically identical to the French Factur-X. A ZUGFeRD invoice in the EN 16931 profile is therefore accepted as a compliant e-invoice in France too. For other EU countries the EN 16931 core is the common denominator.

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, and a plain PDF is not enough. Norman supports both formats: you create your invoice as normal, and the compliant e-invoice file is generated automatically.