Obligation to use invoicing software: untangling the truth from the false!
With the arrival of the VAT anti-fraud law, which came into force on January 1, 2018, companies have been asking themselves new questions, starting with these: is it legal to make invoices in Excel , or do you need to use specific IT systems? And with e-invoicing reform scheduled for 2026, the questions are multiplying even more!
Fortunately, Appvizer is here to help you make sense of this potential billing software obligation, because spoiler, things aren't that simple 🤔.
At the same time, we'll remind you that beyond legal compliance, such tools promise many other benefits 😉.
Definition of billing software
To begin with, a quick reminder of what is meant by billing software.
It's a software tool for businesses, designed to simplify the process of creating, sending and tracking invoices. It integrates a wide range of functions, such as :
- drawing up quotations and converting them into invoices with a single click ;
- personalization of documents in corporate colors;
- integration of customer and product data
- payment tracking ;
- automated reminders for unpaid invoices;
- online payment;
- report generation;
- recurring invoice management, etc.
☝️L The use of this software improves operational efficiency by reducing errors and payment delays, and above all by saving professionals time through the automation of numerous time-consuming tasks.
What's more, they provide an overview of the organization's finances, enabling informed decision-making.
What are the requirements for billing software?
Billing software: mandatory or not?
So, what about the anti-fraud law and invoicing software ? Is the latter ultimately mandatory?
The simple answer is no ❌.
You're under no obligation to use this type of device, and are perfectly free to produce your invoices via :
- a paper invoice;
- an Excel-type spreadsheet;
- a word processor such as Word.
Other rules to observe
However, there are a number of legal reasons why companies turn to computerized invoicing solutions.
Quite simply, they make it easier for you to stay on track and produce perfectly compliant documents. In particular, they ensure that :
- make sure you don't omit any legal information;
- respect the (sometimes complicated) rules for numbering invoices;
- send the invoice to the customer at the right time;
- store documents correctly.
💡 Discover all the best practices to know in our article dedicated to the obligations and rules to follow for compliant invoices.
☝️ But beware, where the obligation to use certified invoicing software comes up again is when the device employed integrates cash register or cash collection functions. Let's take a closer look.
What about the obligation to use cash register software?
It's important to point out that when we talk about compulsory software in the fight against VAT fraud, we're mainly talking about cash register solutions.
According to article 286-I-3° bis of the French General Tax Code, individuals or legal entities :
- subject to VAT ;
- carrying out supplies of goods and services not subject to invoicing and intended for private customers ;
- who use cash register software or systems in the course of their business;
are obliged to use a cash register software or system that satisfies the following conditions: :
- inalterability;
- security;
- conservation;
- data archiving.
In other words, it is important that the device used in this context is certified.
There is often confusion between the obligation to use certified cash register software and the obligation to use a certified invoicing tool. However, we are dealing here with two different issues, since professionals using cash register systems are often not required to invoice.
☝️ However, as mentioned above, if your solution includes functions for recording cash receipts, as is the case for many platforms on the market, then you are concerned by these imperatives.
What are the penalties for non-compliance?
In certain cases, certification of your billing/collection software may be required.
In the event of an inspection by the tax authorities, a certificate from the software publisher must be provided.
Otherwise, the companies concerned risk a fine of 7,500 euros for each system involved. And if after 60 days they still haven't presented the famous certificate, then the penalty applies again... and that really hurts the wallet 😱!
E-invoicing reform and invoicing software
A reminder of e-billing obligations
Obviously, all this questioning about the obligation to use invoicing software is also the result of the fast-approaching arrival of e-billing reform. This will affect all B2B organizations subject to VAT.
📆 Reminder of the timetable:
- September 1, 2026: obligation for all companies to accept invoices in electronic format;
- September 1, 2026: obligation for large companies and ETIs to issue invoices in electronic format;
- January 1, 2027: obligation to issue invoices in electronic format for VSEs and SMEs.
💡 To find out more about this reform, see our article dedicated to the B2B electronic invoicing obligation.
Will it be compulsory to use invoicing software?
Once again, the answer is no ❌.
In fact, professionals affected by the e-invoicing reform will have the option of using a free tool made available by the French government: the Portail Public de Facturation, or PPF. Similar to the current Chorus Pro dedicated to companies working with the public sector, it will be used to deposit, consult and manage documents.
💡 Note that two other devices will make their entry as part of the e-invoicing reform:
- the Plateforme de Dématérialisation Partenaire (PDP) which, like the PPF, will enable electronic invoices to be sent and received ;
- the Dematerialization Operator(DO), who acts as an intermediary between the company and the Public Billing Portal or Partner Dematerialization Platform.
6 other advantages of invoicing software
But beyond legal obligations, invoicing software offers many other advantages. All the more so with the arrival of the e-invoicing reform, which will further increase the mental burden on professionals.
These benefits include 👉
Time savings
Time savings result from the automation of many tasks, automation that simply avoids time-consuming handling.
💡 For example, once your customer and product information has been entered into the system, there's no need to fill in all the invoice fields by hand. All data can be imported with a single click!
Fewer errors
Automation not only saves time... it also considerably reduces the risk of errors! For example, by automatically calculating amounts, applying the appropriate taxes, and so on.
And this is all the more advantageous if you have to process a large volume of invoices.
Better analytical insight
By centralizing data within the software, you can easily gain valuable insights.
What's more, some software packages provide reports and other dashboards, handy for making informed decisions 💡.
Tracking payments and reducing delays
Software lets you easily track pending payments and send automatic reminders to customers in the event of delays, helping to improve your cash flow management.
Some platforms even include the option of paying online, which means you'll receive your payments faster!
Improved customer relations
With an invoicing solution, there's no longer any need to produce hand-crafted documents in Word or Excel.
You'll produce personalized invoices with a perfectly professional appearance, boosting your customers' confidence.
Mobility and accessibility
Most invoicing tools are available in SaaS mode, i.e. directly online.
This means you can access your invoice information from any Internet-connected device, and continue to manage your business even when you're away from the office (on business trips, for example).
How to choose your invoicing software?
Convinced and ready to take the plunge?
Well, there are plenty of invoicing tools on the market. In addition to selecting tax-approved invoicing software, here are a few criteria to consider when making your choice:
- ✅ Functional coverage. It must support all your specific needs, without turning the solution into a gas factory.
- ✅ Compatibility with your other management tools, such as your accounting software.
- ✅ Intuitive, quick-to-learn platform.
- ✅ Pricing. Evaluate the different pricing options to find the one that promises the best return on investment. Note that it's also possible to use free billing software.
- ✅ Quality of customer support. They need to be as responsive and available as possible in the event of a problem.
- ✅ Scalability. You need to look to the future of your business and opt for a solution capable of aligning with your billing requirements as your business grows.
🛠️ Software example:
Sellsy Facturation is a made-in-France invoicing solution that has everything you need to satisfy the needs of small and medium-sized businesses. Compliant with the French VAT anti-fraud law, it includes all the functions you need to simplify your processes as much as possible: creation of invoices and estimates in just a few clicks, management of recurring invoicing, bank reconciliation, reporting and more. What's more, Sellsy prepares you for the reform of electronic invoicing by supporting the Factur-X format adopted by the tax authorities.
Obligation to use invoicing software: what does it mean?
At the end of the day, although it may seem like it, there's nothing that requires companies to use invoicing software. Whether it's to comply with the law against VAT fraud or the reform of electronic invoicing, it's perfectly possible to operate via other systems.
However, the confusion that may arise is mainly due to the fact that these tools greatly simplify compliance with the legal obligations incumbent on companies, if only by lightening their mental load. Less time spent on data entry, fewer errors, more professionalism... all in all, the real question to ask is not "Do I have to use invoicing software?", but rather "What are the reasons for doing without it?". Let's hear it 😉.
Article translated from French