With the introduction of the e-invoicing obligation, the European standard EN 16931 defines clear rules for the structured format and content consistency of electronic invoices. 

Companies face the challenge of validating incoming e-invoices for format errors, business rule violations, and content inaccuracies using an appropriate validation solution. Without such validation, companies risk losing their input VAT deduction. 

Non-compliance with the CEN standard, incomplete validations, or faulty implementations can lead to compliance risks, process delays, and unnecessary manual effort. 

Many companies are also likely interested in achieving the protection of good faith for input VAT deduction as envisaged by the German Federal Ministry of Finance through a suitable validation solution. However, this requires the often-cited “duty of care of a prudent businessman” which comes with high requirements. 

With our validation analysis, we assess whether the validation solution used in your company verifies incoming e-invoices in compliance with applicable standards. To this end, we have developed a testing procedure that checks whether format and business rule errors are correctly identified, without any need for your assistance. 

In addition, we check whether your validation solution can detect content errors that are not filtered out by business rules. While conventional content validation cannot be fully replaced by technical checks, it can certainly be supported. This helps mitigate risks to input VAT deduction. 

To demonstrate that your validation process meets the “duty of care of a prudent businessman” and to reliably benefit from the protection of good faith provided for by the German Administrative VAT Guidelines a certification can be issued based on our validation analysis in accordance to a recognized auditing standard of the German Institute of Public Auditors (IDW).