General Questions About E-Billing

An e-invoice, as defined by EU Directive 2014/55/EU and the German E-Invoice Regulation (ERechV), is an invoice that is transmitted exclusively in a structured, electronic format, such as the XRechnung format. A simple PDF or scan of an invoice does not meet these requirements.

The Treesoft E-Invoice Toolkit enhances the invoicing software you use by adding all the features you need to send and receive e-invoices. With the Treesoft E-Invoice Toolkit, you can even convert your PDF invoices into XRechnung or ZUGFeRD invoices fully automatically, if desired, and send them via email. Of course, you can customize the workflow for the automatic processing of your PDF invoices in the Treesoft E-Invoice Toolkit to suit your company’s specific requirements and circumstances.

The most common formats for e-invoices are XRechnung and ZUGFeRD. Unlike traditional paper invoices or PDF invoices, e-invoices are structured in such a way that they can be processed automatically. The following formats are distinguished:

• XRechnung is a standardized XML format that is used primarily in the public sector in Germany.
• ZUGFeRD (Central User Guide of the German Electronic Invoicing Forum) is a hybrid format that combines XML and PDF.

The Treesoft E-Invoice Toolkit supports both formats. When converting your PDF invoices, you can choose whether to convert them to an XRechnung or a ZUGFeRD invoice.

No, a PDF document alone does not qualify as an e-invoice, since it is not machine-readable as defined by legal requirements. Scanned paper invoices or unstructured formats also do not qualify.

However, with the Treesoft E-Invoice Toolkit, you can very easily convert an existing PDF invoice into an XRechnung or ZUGFeRD invoice. The only requirement for conversion is that the information relevant for an XRechnung or ZUGFeRD invoice be present in the PDF invoice as text rather than as an image.

Receiving and verifying e-invoices in accordance with the EU standard EN 16931 has been mandatory in the B2B sector since January 1, 2025.

Unlike receiving e-invoices, there is a transitional provision for sending them (see FAQ: Are there transitional provisions for sending e-invoices?)

Yes, from January 1, 2025, through December 31, 2026, all invoice issuers may continue to decide whether they wish to issue and send an e-invoice or another type of invoice.

•  Paper invoices may be used without restriction during this period.
• Electronic invoices in PDF format (such as those sent by email) are permitted only if the recipient has given prior consent.

If the invoice issuer’s revenue for the previous year is less than 800,000 EUR, the transition period is extended until December 31, 2027.

But why wait? With our GoBD-compliant Treesoft E-Invoicing Toolkit, there’s no need for a time-consuming overhaul of your ERP system. The toolkit extends the software you use for invoicing and provides you with all the features you need for e-invoicing. The future can be this simple!

Yes, the following are among the exceptions to the e-invoicing requirement:

• Tax-exempt supplies and services pursuant to Section 4, Nos. 8 through 29 of the German Value-Added Tax Act (UStG) are exempt from the electronic invoicing requirement.
• According to the Annual Tax Act of 2024, small business owners are not required to send e-invoices; however, they must be able to receive them and are also required to verify them.
• Invoices for small amounts under 250 EUR gross (Section 33 UStDV). However, the receipt of invoices exceeding 250 EUR must be ensured.
• The exchange of invoices with non-EU countries is not affected by the e-invoicing requirement in Germany.

E-invoicing supports all common invoice types—such as outgoing invoices, credit memos, partial or advance invoices, and final invoices—provided they are created and transmitted in a structured electronic format such as XRechnung or ZUGFeRD. These formats are machine-readable and enable automated processing.

The most common types of invoices include:

• Invoice
• Partial invoice
• Final Invoice
• Installment Invoice
• Credit Note
• Cancellation Invoice
• Invoice Correction

These invoice types also exist in traditional invoices. In electronic form, however, they must be structured and correctly labeled.

The Treesoft E-Invoice Toolkit automatically determines the invoice type based on the text description in the PDF invoice to be converted—such as “Invoice”—and substitutes the corresponding code into the XRechnung.

Companies are legally required to ensure compliance with tax regulations by verifying incoming invoices. This involves verifying the invoices for formal, factual, and arithmetic accuracy.

The Treesoft XRechnung Validator, included in the Treesoft E-Invoice Toolkit, performs the formal validation and shows you whether all required information is present.

If you check a received XRechnung using the Treesoft XRechnung Validator included in the Treesoft E-Rechnung Toolkit and it detects an error, contact the invoice issuer and ask them to correct it. The invoice issuer is obligated to provide you with a properly issued, error-free XRechnung.

If desired, the Treesoft XRechnung Validator can automatically return the incorrect XRechnung to the sender via email using a predefined, fully customizable template. Invoice verification has never been easier!

Yes, cash discounts and rebates can be included in e-invoices. Formats such as XRechnung and ZUGFeRD provide structured fields for specifying payment terms, cash discount periods, and percentage deductions.

The Treesoft E-Invoice Toolkit supports the use of cash discounts and rebates. Rebates can be applied at the line item level (such as volume discounts) and at the document level (such as price reductions), and are correctly processed by the software.

XRechnung is based on an XML format that is primarily designed for automated processing and is not suitable for manual review. To view an XRechnung, you therefore need a viewer.

The Treesoft E-Invoice Toolkit includes the Treesoft XRechnung Viewer, which clearly displays the information contained in the XML file. Best of all, the Treesoft XRechnung Viewer is free to use!

Yes, it is possible that the XRechnung differs from the PDF invoice. This can happen, for example, in the case of a fraud attempt. Through a so-called “man-in-the-middle attack,” the file can be intercepted and its contents altered. Some customers have already reported such an attack to us, in which the account information was manipulated, causing the invoice amount to be diverted to the attacker.

The XRechnung is legally binding. In most cases, XRechnungen are automatically processed and posted. Therefore, we strongly recommend that you check any XRechnungen you receive. You can use our Treesoft XRechnung Validator to check your XRechnungen.

The difference between a cancellation invoice and a credit memo lies primarily in their legal significance, accounting practices, and the type of correction involved. In practice, the two terms are often used interchangeably, but they are not the same thing.

A cancellation invoice (also known as an invoice correction) cancels an invoice that has already been issued. In this process, a corrected offsetting invoice with negative amounts is created. Due to the negative invoice amount, the original invoice is voided, as the cancellation offsets and thereby cancels out the original invoice amount. A cancellation invoice involves a reversal of the items originally billed. A cancellation invoice must always include a reference to the original invoice being canceled.

A credit memo is used to reduce, retroactively, the amount of an invoice that has already been issued—for example, when a discount is granted in response to a complaint. Unlike a cancellation invoice, a credit memo does not result in the items being reversed.

The Treesoft E-Invoice Toolkit supports both cancellation invoices and credit memos and processes them correctly.

A partial invoice is issued for a (partial) service that has already been provided. An advance invoice is issued for a partial amount, even though the service has not yet been provided.

A partial invoice is always shown as a net amount on the final invoice, and a down payment invoice is shown as a gross amount to be deducted.

The Treesoft E-Invoice Toolkit takes these tax requirements into account to ensure that partial invoices and advance invoices are correctly deducted from a final invoice.

A token is a digital billing unit. The Treesoft E-Invoice Toolkit uses tokens to bill for completed transactions, such as converting a PDF invoice into an XRechnung or ZUGFeRD invoice.

The Treesoft XRechnung Viewer can be used for free indefinitely. To use the other tools in the Treesoft E-Invoice Toolkit—for example, to validate, create, edit, or convert e-invoices—you need a personal Treesoft token account. These transactions are billed automatically using tokens that are deducted from your token account.

You can add tokens to your account by purchasing token packages in our online store. After purchase, they will be automatically credited to your token account—24/7 and with no wait time.

In the setup wizard, you enter the information required for certain Toolkit functions, such as your company’s legally correct and complete name. This information is required, in particular, for generating X-invoices or ZUGFeRD invoices.

A token account is not required to use the free Treesoft XRechnung Viewer. However, if you’d like to use additional Toolkit modules, we’ll automatically set up your personal token account for you. This account will then be used to bill you for the transactions you carry out using the Treesoft E-Invoice Toolkit.

When you set up your token account, you’ll receive an initial token balance to test additional Toolkit features. The amount may vary depending on the promotion, coupon code, or referral program.

The information you provide will, of course, be treated as strictly confidential and processed exclusively internally by Treesoft. We place the utmost importance on data protection.

The Treesoft E-Invoice Toolkit charges for completed transactions—such as converting a PDF invoice into an XRechnung or ZUGFeRD invoice—using tokens. The number of tokens required for a transaction can be found in the currently valid price list:

Prices

You can order token packages for the Treesoft E-Invoice Toolkit through our online store and use them to top up your token account:

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The larger the token bundles, the lower the price per token.

In the Treesoft E-Invoice Toolkit, you can view your current balance at any time and get an overview of your transaction history.

Use of the Treesoft XRechnung Viewer is free of charge; in other words, no tokens are charged for it.

Treesoft is committed to maximum transparency, so you can view your current token balance and past transactions at any time in the Treesoft E-Invoice Toolkit! To do this, select the “Token Balance” command from the Tools menu. There, you’ll also find an overview of the tokens charged for each transaction.

If your token balance for the Treesoft E-Invoice Toolkit has run out, you can order a new token package through our online store. Your token account is not automatically recharged, which means you must actively place an order for a token package yourself.

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The tokens will be credited directly to your token account and will then be immediately available to you in the Treesoft E-Invoice Toolkit.

No. Using the Treesoft E-Invoice Toolkit does not automatically sign you up for a subscription. Unless you explicitly make a purchase in our online store, neither an automatic order nor an automatic top-up of your token account will occur.

When you set up a Token account, you’ll receive a Token starter balance to test additional Toolkit features. The amount of this starter balance may vary depending on the promotion, coupon code, or referral program.

Token packages can only be ordered, and optional subscriptions to the Treesoft E-Invoice Toolkit can only be purchased, through our online store.

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A subscription is a regularly recurring, contractually agreed-upon arrangement for the use of a product or service.

We offer subscriptions for the Treesoft E-Invoice Toolkit through our online store. Purchasing a subscription for the Treesoft E-Invoice Toolkit is optional. This is a monthly recurring fee. By subscribing (BASIS, PLUS, or PRO), the number of tokens required—and thus the cost charged per transaction—is reduced.

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The easiest way to find the subscription that best fits your individual needs is to use our pricing calculator.

A subscription to the Treesoft E-Invoice Toolkit is billed on a monthly recurring basis. Payment is processed each month using the payment method selected when ordering the subscription in the online store.

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A subscription to the Treesoft E-Invoice Toolkit is automatically renewed for another month unless it is canceled in writing at least 14 days before the end of the term.

To cancel your subscription, simply send an email to:

• e-rechnung.support@treesoft.de

We will confirm the cancellation of your subscription in writing via email and save this confirmation in your Token account.

Once your subscription ends, billing through your token account will switch to the “FREE” plan. From that point on, the number of tokens required for a transaction will be based on the terms and conditions then in effect for the “FREE” plan. Of course, you can use up your token balance and order additional tokens through our online store as needed.

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Yes, the Treesoft XRechnung Viewer is and will always be free—we promise! 

We charge for tokens only for converting, validating, and creating an XRechnung using the Treesoft E-Rechnung Toolkit, in accordance with the currently valid price list. However, these costs are negligible compared to the material, labor, and postage costs associated with printing, enveloping, franking, and subsequently mailing paper invoices!

Prices

The Treesoft E-Invoice Toolkit currently supports the following e-invoice formats

• ZUGFeRD 2.2 / EN 16931
• XRechnung UN/CEFACT CII (Cross Industry Invoice) / EN 16931
• UBL (Universal Business Language) format for XRechnung

The Treesoft E-Invoice Toolkit supports all common invoice types for e-invoices. These include, among others:

• Invoice
• Partial invoice
• Installment Invoice
• Final Invoice
• Cancellation Invoice
• Credit Note

The Treesoft E-Invoice Toolkit automatically determines the invoice type based on the text description in the PDF invoice to be converted—such as “Invoice”—and substitutes the corresponding code into the XRechnung.

A configuration file is required to convert a PDF invoice into an e-invoice (XRechnung and ZUGFeRD invoice) using the Treesoft PDF2XRechnung Converter. The configuration file is used to classify the information contained in the PDF invoice, i.e., to assign it to the corresponding BT (Business Term) fields in the XRechnung.

There is a fee for creating this type of configuration file. You can order it directly through our online store:

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Your configuration file is linked to your personal Treesoft Token account and is automatically loaded when you launch the Treesoft E-Invoice Toolkit.

To create a configuration file for the Treesoft PDF2XRechnung Converter, we need sample PDF invoices that contain the information required for an e-invoice (see FAQ: What are the requirements for converting a PDF invoice into an e-invoice?).

You can upload your sample PDF calculations directly to us using the form on our website:

• https://treesoft.de/software/treesoft-e-rechnung-toolkit/pdf2xrechnung-converter

The configuration file for the Treesoft PDF2XRechnung Converter is created with the utmost care by specially trained Treesoft employees. The internal tool used to create the configuration files—the Treesoft XRechnung Configurator—analyzes the text contained in the PDF invoice to be converted on a 1:1 basis. Importantly, neither AI nor OCR text recognition is used in this process to prevent misinterpretations (such as AI “hallucinations” or errors in OCR text recognition).

In the configuration file, the information contained in the PDF invoice is classified—that is, mapped to the corresponding BT (Business Term) fields in XRechnung.

If necessary, the Treesoft E-Invoice Toolkit performs a substitution, i.e., it replaces the text contained in the PDF invoice with the corresponding value or code in the XRechnung. For example, the text “Germany” is substituted with the code “DE.”

The substitutions and default values—if the relevant information is not included in the PDF invoice—can be specified in the Options dialog (Tools menu, Options command, or the keyboard shortcut [CTRL]+[SHIFT]+[O]) under the Configurator branch.

You print the invoice—the easiest way is directly using the included Treesoft PDF Printer—to a PDF file in a specified directory, and the Treesoft E-Invoice Toolkit handles everything else automatically:

The Treesoft PDF2XRechnung Converter monitors the directory, and as soon as a PDF file is saved there, it opens it automatically.

The software then classifies the PDF file using the configuration file created for you and assigns the result to the corresponding BT (Business Term) fields in the XRechnung.

Treesoft PDF2XRechnung Converter then automatically generates the XRechnung or ZUGFeRD invoice and saves it under the file name you specified in the directory you designated for outgoing invoices.

Upon request, the XRechnung or ZUGFeRD invoice will be automatically sent to your customer using the saved email template.

You can customize the automatic conversion and subsequent automatic sending of your XRechnungen or ZUGFeRD invoices to meet your specific needs and, for example, tailor the email template to your preferences.

Just print the invoice from your ERP system (or the software you use for invoicing, such as Microsoft Excel or Word) as a PDF file, and you’re done!

To convert your PDF invoices into an XRechnung or ZUGFeRD invoice using the Treesoft PDF2XRechnung Converter, you need a configuration file (see FAQ: What is required to convert a PDF invoice into an e-invoice?). If you have received an email confirming that it is linked to your token account, you can convert your PDF invoices into an XRechnung or ZUGFeRD invoice as follows:

• Launch the Treesoft E-Invoice Toolkit.
• Open the Converter using the Wizard selection (Quick Start menu, Select Wizard command, or the [F3] key).
• In the dialog box that appears, select the PDF invoice you want to convert.
• To save the XRechnung or ZUGFeRD invoice, select the “Save” command from the File menu or use the keyboard shortcut [CTRL]+[S].

The Treesoft PDF2XRechnung Converter saves the XRechnung or ZUGFeRD invoice in the specified directory. You can then send it to the invoice recipient via email using your email client.

Using the Options dialog (Tools menu, Options command, or the keyboard shortcut [CTRL]+[SHIFT]+[O]), you can enable automatic file storage and archiving separately for incoming and outgoing invoices under the “Files” section and customize these settings to suit your specific needs and circumstances.

TIP
: The Treesoft E-Invoice Toolkit includes a directory monitoring feature that automatically converts and sends your PDF invoices.

The Treesoft E-Invoice Toolkit is installed locally on your PC as a desktop application (on-premises). The software generates the XRechnung or ZUGFeRD invoice on your PC.

Your customer and billing data will not be transferred. Processing therefore takes place exclusively on your computer.

The XRechnung or ZUGFeRD invoice is sent via the Treesoft E-Invoice Toolkit using your email account and the email address you have on file. This means you send your e-invoices yourself and do not share your customer and billing information with third parties.

If desired, the Treesoft E-Invoice Toolkit can automatically send the generated XRechnung or ZUGFeRD invoice via your configured email client.

To create an e-invoice from your PDF template using the Treesoft PDF2Xrechnung Converter, all information relevant to the e-invoice must be stored as text and not as an image, so that it can be parsed. We will then create a configuration file (for a fee) in which the relevant information is classified—that is, assigned to the corresponding BT (Business Term) fields in XRechnung.

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The following basic requirements must be met to ensure error-free conversion of a PDF invoice:

• The PDF invoice should be form-based.

• There is one unit for each position.

• The applicable tax rate is listed for each item.

• All the different document types—such as invoices, interim invoices, partial invoices, final invoices, cancellation invoices, and credit memos—have the same structure in terms of content.
  If this is not the case, multiple documents are required for the conversion.

Yes, Treesoft PDF2X Converter requires a configuration file to convert a PDF invoice into an XRechnung or ZUGFeRD invoice.

Our free invoice templates for Microsoft Excel/Word and LibreOffice Calc/Writer already include a predefined configuration file for the Treesoft PDF2XRechnung Converter. If you use these invoice templates without changing the layout, you won’t need to order the initial setup.

However, if you use your own invoice templates or customize the layout of the included invoice templates, you’ll need to create a custom configuration file. You can order this directly through our online store. Instead of manually creating invoices with Microsoft Office or LibreOffice, we recommend using the Treesoft XRechnung Creator. With this tool, you can easily generate your XRechnungen or ZUGFeRD invoices.

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Subtotals are not supported in XRechnung, even though they are commonly used in many invoices. However, the Treesoft PDF2XRechnung Converter also supports the conversion of PDF invoices that include subtotals. In this process, the subtotals are converted into item-level discounts along with the corresponding text. The text accompanying the discount lists all the items to which the subtotal refers.

Yes, the Treesoft PDF2XRechnung Converter handles these correctly. As required by law, partial invoices are deducted on a net basis, while advance invoices are deducted on a gross basis.