Fines up to €5,000 from 2026: how to avoid Peppol stress as a sole proprietor

What is Peppol (and why do you need it)?

Peppol (Pan-European Public Procurement Online) is an international secure network that allows businesses to exchange electronic invoices in a standardized, structured format.

For you as a sole proprietor, this means:

· You create your invoice in your invoicing software (in a structured format such as UBL)
· It is sent via Peppol to your business customer
· Your customer can process the invoice automatically

No more emailing PDFs. No more manual input on your customer’s side.

Benefits for sole proprietors:

· Less administration
· Fewer errors
· Faster processing
· Greater certainty that your invoice is correctly received

When does Peppol become mandatory?

· From January 1, 2026
· For all B2B invoices
· For all Belgian VAT-registered businesses

So yes—this also applies to sole proprietors.

Does Peppol apply if you are VAT-exempt?

Yes. This is crucial.

If you use the small business scheme (annual turnover ≤ €25,000), you are VAT-registered but exempt from charging VAT.

👉 Even then, you must send B2B invoices via Peppol.

In most cases, you must also be able to receive them.

Important to know:

· You continue invoicing without VAT
· But B2B invoices must be sent via Peppol
· B2C invoices (to private individuals) are not subject to this obligation

Are there exceptions to the Peppol obligation?

The obligation applies to transactions between Belgian VAT-registered suppliers and Belgian VAT-registered customers. However, the Royal Decree of July 8, 2025 provides some limited exceptions.

When do you NOT have to send Peppol invoices?

No obligation applies to:

· bankrupt VAT-registered businesses
· businesses performing only VAT-exempt activities under Article 44
· non-Belgian VAT-registered businesses without a fixed establishment in Belgium
· flat-rate VAT taxpayers (Article 56 – phased out by 2028)

👉 Important: small businesses under €25,000 turnover are NOT exempt. They must also use Peppol.

When do you NOT have to receive Peppol invoices?

No obligation applies to:

· businesses only performing Article 44-exempt activities
· non-Belgian VAT-registered businesses without a fixed establishment

Summary:

· Small businesses (< €25,000 turnover): must send (and usually receive) Peppol invoices
· Article 44 businesses: no obligation to receive Peppol invoices

Not sure where you fall? PIA Go! is happy to help.

What fines can you expect?

From 2026, non-compliance may result in:

· First offense: €1,500
· Second offense: €3,000
· Third and subsequent offenses: €5,000 per quarter

You’ll have three months between penalties to fix your administration.

But beware: the obligation applies to both outgoing AND incoming invoices.

So even if you don’t send invoices via Peppol, but can’t properly process incoming ones—you’re still at risk.

Is there a tolerance period in 2026?

Yes.

Although Peppol becomes mandatory on January 1, 2026, there is a tolerance period during:

· January
· February
· March

No fines will be imposed during this period—provided you can prove you made reasonable efforts to comply.

What does this mean?

· It’s a grace period for startup issues
· It’s meant for practical/technical problems
· It is NOT a delay of the obligation

👉 Peppol is still mandatory from January 1, 2026.

When do fines apply?

From April 1, 2026:

· 1st violation: €1,500
· 2nd violation: €3,000
· 3rd+: €5,000

Again, with 3-month intervals between penalties.

Important:

The tolerance only applies if you’ve taken action. If you haven’t prepared at all, you’re not protected.

Also, an incorrect e-invoice may be considered “not issued,” which can have VAT consequences.

What should you do now as a sole proprietor?

You don’t need to be an IT expert—but you must be compliant.

· Be able to send B2B invoices via Peppol
· Be able to receive Peppol invoices
· Use Peppol-compatible software

Still using PDFs or disconnected tools?

👉 Then you are not compliant from January 1, 2026.

PIA Go! helps you stay compliant

At PIA Go!, we support sole proprietors who don’t want accounting stress.

✔ We check if your invoicing setup is compliant
✔ We provide a simple Peppol solution
✔ We handle activation and setup
✔ We make sure you enter 2026 penalty-free

No technical headaches. No complex decisions. Just done right.

(Depending on your subscription)

👉 Bonus: Invested in Peppol software in 2025? You benefit from 120% tax deductibility. We include that in your tax return.

Interested?

Get in touch—we’ll review it together.