Running a business in Spain is never short of paperwork. From Modelo 720 to quarterly IVA, it sometimes feels like the rules change just as you get comfortable with them. The next big change is already on the horizon: mandatory electronic invoicing.

Spain’s government has approved two pieces of legislation – Law 11/2021 (on tax fraud prevention) and Law 18/2022 (to support business growth) – that will make e-invoicing compulsory for all businesses and professionals who issue invoices.

Here’s what you need to know.

When does it start?

• From 1 January 2026: all companies (sociedades) must issue and receive invoices electronically.
  
• From 1 July 2026: the same rules will apply to autónomos (self-employed workers).
  

What counts as electronic invoicing?

This is more than just sending a PDF by email. Under the new rules, invoices must be created in an approved electronic format that can be read, validated, and stored by the Tax Agency (AEAT). The system is designed to:

• reduce fraud and hidden cash payments
  
• create faster, more transparent reporting
  
• streamline record-keeping for businesses and the tax office
  

What do businesses need to do?

If you already use invoicing software, check with your provider that it will be adapted to the new law. Most established providers will roll out updates well before 2026.

If you are still relying on Word, Excel or manually prepared invoices, you will need to upgrade to compliant invoicing software.

Your accountant can guide you on which platforms are certified and best suited to your situation. Many firms (including Baleario partners) are working with technology providers to offer simple, affordable solutions for both small businesses and autónomos.

Why start preparing now?

While the deadlines may seem far away, in practice it makes sense to review your invoicing process in 2025. That way you can:

• avoid last-minute stress or system changes
  
• train staff and get comfortable with the new process
  
• ensure your cash flow and reporting remain uninterrupted
  

How Baleario can help

We’re already supporting clients through the transition. Our team will:

• review your current invoicing process
  
• confirm whether your existing software will meet the new requirements
  
• recommend compliant options tailored to your business size and activity
  

Electronic invoicing doesn’t need to be a headache, but ignoring it will cause problems once the deadlines hit. By getting ahead of the change, you’ll not only comply with Spanish law but also simplify your invoicing and bookkeeping.