Bosnia and Herzegovina is set to modernize its fiscal system with a new Law on Fiscalization of Transactions in the Federation of Bosnia and Herzegovina (FBiH). The law introduces mandatory electronic invoicing and real-time reporting for B2B, B2C, and B2G transactions to combat tax evasion and improve transparency.
The Draft Law defines an e-invoice as a digital document issued and received in a structured format, compliant with EU standards, enabling automatic electronic processing. Taxpayers will be required to use the Central Platform for Fiscalization (CPF), managed by the Tax Authorities, for issuing e-invoices, real-time reporting, and data exchange. For B2C transactions, approved Electronic Fiscal Systems (EFS), including electronic transaction recording tools (ESET) and fiscal devices, will be used.
The public hearing on the Draft Law took place from January 1 to March 1, 2025. The new law is expected to enhance tax collection efficiency, reduce informal economy activities, and ensure transparent business operations. Penalties will be imposed for non-compliance. The law also stipulates that invoices must be archived for a minimum period of 11 years.