About eInvoicing
eInvoicing is the digital exchange of invoice information between suppliers' and buyers' software through the secure Peppol network.
It's faster, more accurate and more secure than sending invoices as PDFs by email.
With Peppol eInvoicing:
- suppliers don't need to print, post or email paper or PDF invoices
- buyers don't need to manually enter or scan invoices into their software
- businesses can connect once and transact with everyone on the Peppol network – over 430,000 Australian businesses – no matter what software they use.
To find out how Australian businesses are unlocking the benefits of eInvoicing and modernising the way they do business, explore these case studies.
Benefits of eInvoicing
- Save time and money
- Be more secure
- Reduce payment times
- Help the environment
- Connect once, trade with many
Save time and money
eInvoicing reduces manual data entry and streamlines process automation. It can save you time and let you focus on running your business.
eInvoicing will also help reduce your administration costs. Paper and PDF invoices generally cost between $27 and $30 to process. eInvoicing can reduce this to less than $10 an invoice.
With eInvoicing, you:
- as a supplier, don't need to create paper or PDF invoices and then print, post or email them
- as a buyer, don't need to scan and manually enter invoices into your software
- can automate invoice processing more easily using eInvoicing's standardised, structured, better-quality data
- reduce delays caused by invoice errors and invoices being misplaced, incorrectly addressed or going missing
- reduce the time spent following up late invoices.
While you still need to apply your existing checks and assurance processes before paying eInvoices, you may see cost savings due to automation of manual administrative tasks and faster processing.
There are no- and low-cost implementation options for small businesses.
To help you work out how much eInvoicing may benefit your large or medium business, see the Peppol eInvoicing value assessment tool.
Be more secure
According to the National Anti-Scam CentreExternal Link, payment redirection and false billing scams are some of the most common scams reported. More than $166 million was lost to these scams in 2025, up from $152 million in 2024.
eInvoicing can help make your business more secure:
- eInvoices are exchanged securely through the Peppol network by approved access points, using the buyer's and supplier's ABNs.
- The risks of intercepted, fake or compromised invoices, email scams and ransomware attacks are lower compared with posted or emailed invoices.
- eInvoices can only be viewed by the supplier, buyer and their digital service providers. eInvoices don't go through the ATO and we can't see them.
And, you can apply all of your existing invoice processing compliance, assurance and verification safeguards to eInvoices before making payments.
Reduce payment times
eInvoicing can improve your cashflow, with faster processing enabling faster payments.
The Australian Government is committed to paying eInvoices more quickly. For more information, see The Department of Finance's Guide to selling – Getting paidExternal Link.
State governments and local councils are also encouraging their suppliers to send them eInvoices. And, large businesses in-scope for the Payment Times Reporting Scheme must now:
- note their eInvoicing policies and practices
- flag eInvoices in their payment times reportsExternal Link.
Help the environment
eInvoicing can help your business reduce the use of paper and other resources when managing invoices. eInvoicing reduces energy consumption and greenhouse gas emissions, making it an environmentally friendly alternative to printing and posting paper invoices. Less computing power is needed to process the structured data used by eInvoicing, especially when volumes increase.
For companies that have environmental, social and governance targets, eInvoicing can help achieve them.
Connect once, trade with many
Businesses only need connect once to trade with anyone on the Peppol network.
Businesses can use eInvoicing regardless of their size or the software they use. All that's needed is that both the supplier's and buyer's software are connected to the Peppol network.
Large businesses can add Peppol to their trading networks to help their smaller trading partners:
- exchange invoice data directly from their software, and
- reduce administrative costs.
Peppol is based on proven infrastructure and is growing globally. The network can support a wide range of business documents, not just invoices. By updating the standard we use in 2024–25, we've laid the foundation for international interoperability.
About Peppol
PeppolExternal Link is an international eProcurement framework. It's developed and maintained by OpenPeppol, an international non-profit association with members all over the world. The Peppol network and document specifications standardise the way business information is structured and exchanged.
Peppol uses a 4-corner model to exchange procurement documents and data. It transmits these through an open and secure network of accredited Peppol service providers called access points.
- The 4-corner model
- Peppol service providers
- Peppol's origins and growth
- Peppol in Australia and the role of the ATO
The 4-corner model
Stages in the 4-corner model include (see the flowchart below):
- Corner 1: The supplier creates the eInvoice in their business software.
- Corner 2: The supplier's access point validates and sends the eInvoice. The address is retrieved using address lookup. The eInvoice travels via the secure Peppol network.
- Corner 3: The buyer's access point receives and validates the eInvoice.
- Corner 4: The buyer receives the eInvoice in their business software.
Peppol service providers
Access points connect businesses to the Peppol network and allow the exchange of invoices and business documents with others on the network. Another type of Peppol service provider known as service metadata publishers (SMPs) ensure the addresses and capabilities of businesses on the network can be looked up. Most, but not all access points are also SMPs.
If you are interested in becoming an accredited Peppol service provider in Australia, visit our software developers websiteExternal Link.
Peppol's origins and growth
Peppol began in 2008 and is used mainly in Europe, where OpenPeppol is based. It is core to the European Union's VAT in the Digital Age (ViDA)External Link initiative.
Its use is growingExternal Link, with more than 7 million businesses now registered on the Peppol network globally. It's increasingly being seen across Asia and the Pacific region, with Singapore, Malaysia, Taiwan and Japan having joined Australia and New Zealand, who adopted the Peppol framework in tandem in 2019.
Peppol in Australia and the role of the ATO
OpenPeppol gives authority to various countries to manage Peppol within their borders – over 50 countries are members of OpenPeppol.
The Australian Government established the Australian Peppol AuthorityExternal Link (APA) within the ATO, based on its experience with similar digital initiatives such as SuperStream and Single Touch Payroll.
In this role, we:
- define Australian requirements for use of the Peppol standards – for example, the Australian-New Zealand invoice specification supports GST and can be used to issue an invoice that complies with the requirements of a tax invoice
- administer accreditation of Peppol service providers for Australia
- educate, promote and support the adoption of Peppol across government and the business community
- work with digital service and software providers and the business community to ensure Peppol is suitable and implemented consistently across Australia.
eInvoicing is not a compliance or revenue measure. We can’t see any invoice information, and we don't receive a copy of this information.
Getting started – connecting to the Peppol network
To use eInvoicing, your business and your trading partners need to connect to the Peppol network.
- Small businesses
- Medium and large businesses
- Tax professionals and business advisers
- Government
- Finding trading partners
- Peppol and existing digital networks
Small businesses
Many of the commonly used small business accounting packages already offer eInvoicing. You may be connected as part of your existing subscription or if not, then registering to use Peppol eInvoicing is quick and easy. To find out more, see Getting started with eInvoicing for small business.
Medium and large businesses
Medium and large businesses may also have pathways within their software. To select the right option for your business, see Getting started with eInvoicing for medium and large businesses.
Tax professionals and business advisers
Tax professionals, accountants, bookkeepers and business advisers can help businesses, especially their small business clients, get started with eInvoicing. To find out more, see eInvoicing for tax professionals and business advisers.
Government
Governments across Australia are adopting Peppol eInvoicing to:
- help boost productivity across the economy, and
- support businesses in their jurisdictions.
Find out more about the Australian Government's commitment to eInvoicing and what other governments are doing.
Finding trading partners
The Peppol Directory can help you find which of your trading partners are ready to receive eInvoices from you. Some software products have automated this process. To find out more, read Identifying Australian businesses on the Peppol network.
Peppol and existing digital networks
Businesses have exchanged electronic documents such as invoices for decades through different channels, including:
- electronic data interchange (EDI)
- data entry portals
- data file transfers.
These systems are efficient and streamline the buying process, but they aren't universal (they use 3-corner models not 4) and are usually proprietary. This means suppliers must connect to multiple systems used by different buyers, creating inefficiencies and trade barriers.
Peppol complements EDI and other channels and represents a common global standard for exchanging digital business documents. This helps businesses that transact with trading partners through multiple EDI networks to avoid multiple connections and associated high costs. And, it can be used by larger businesses to move their smaller trading partners to fully digital transactions.
Contact us
If you have any questions, email eInvoicing@ato.gov.au.
If you are a registered digital service provider (DSP), you can contact us using our Online services for DSPsExternal Link.