Singapore’s move toward a digitally connected economy has made e-invoicing a key element of financial operations and regulatory compliance. Led by the Infocomm Media Development Authority (IMDA), InvoiceNow enables businesses to exchange invoices electronically using the Peppol network, replacing manual, paper-based, and email-driven processes.

This guide outlines how e-invoicing works in Singapore, who is required to adopt it, what constitutes a valid e-invoice, and how organisations can implement InvoiceNow efficiently with support from Aarav Solutions.

E-Invoicing in Singapore

InvoiceNow is Singapore’s nationwide e-invoicing framework built on the global Peppol standard. It allows businesses to transmit structured invoice data directly from one accounting or ERP system to another without manual intervention.

GST-registered businesses and companies applying for GST registration are required to submit invoice data to IRAS through InvoiceNow. Beyond compliance, many organisations are adopting e-invoicing voluntarily to improve cash flow, reduce administrative overhead, and maintain audit-ready financial records.

By standardising invoice exchange, InvoiceNow improves accuracy, enhances data security, and supports seamless transactions with both local and international trading partners.

What Is InvoiceNow?

InvoiceNow is a government-supported digital invoicing system that enables invoices to be created, sent, received, and processed electronically in a standardised format. Once generated, invoices are transmitted securely over the Peppol network and delivered directly into the recipient’s accounting system.

This approach eliminates duplicate data entry, reduces invoice errors, and shortens processing cycles. For finance teams, it provides better visibility, faster reconciliation, and reliable records that are readily available for audits and regulatory reviews.

Why Businesses in Singapore Are Adopting E-Invoicing

E-invoicing delivers tangible operational and compliance benefits across industries. Manual invoicing processes often lead to delays, errors, and reconciliation challenges. InvoiceNow addresses these issues by digitising invoice exchange end to end.

Businesses benefit from improved efficiency, faster payment cycles, reduced processing costs, and lower risk of errors or fraud. Digital invoices are easier to track, validate, and audit, supporting more accurate GST reporting and financial governance.

IMDA also encourages adoption through grants and incentives, particularly for small and medium enterprises, enabling broader participation across the business ecosystem.

Who Is Required to Use E-Invoicing in Singapore

Suppliers providing goods or services to Singapore government agencies must submit invoices through the Peppol network to ensure accurate records and timely payments.

Newly incorporated companies that voluntarily register for GST are required to adopt e-invoicing from 1 November 2025. From 1 April 2026, this requirement extends to all new voluntary GST registrants, ensuring digital tax reporting from the outset.

Businesses that are not mandated to adopt e-invoicing can still join InvoiceNow voluntarily. Doing so helps reduce administrative effort, improve payment timelines, and maintain consistent, audit-ready records.

Organisations engaged in regional or global trade also benefit significantly, as the Peppol framework is recognised in multiple countries, enabling smoother cross-border invoice exchange.

How the Peppol E-Invoicing Network Works

The Peppol network enables secure and standardised invoice exchange through certified Access Points. A supplier generates an invoice within their ERP or billing system and sends it via a Peppol-certified Access Point. The invoice is then delivered directly into the buyer’s accounting system.

All invoices follow the Peppol BIS Billing 3.0 standard, ensuring consistent data structure, automated validation, and secure transmission. This reduces manual intervention, minimises errors, and prevents unauthorised changes to invoice data.

The result is faster processing, better traceability, and reliable audit trails for both buyers and suppliers.

What Defines a Valid E-Invoice in Singapore

A compliant e-invoice in Singapore must include complete and accurate information to meet IMDA and IRAS requirements. This includes clear identification of the supplier and buyer, unique invoice references, and detailed transaction information.

Key elements include the supplier’s legal name, UEN, registered address, and contact details, along with the buyer’s legal entity name, UEN, and billing address. Each invoice must carry a unique invoice number for tracking and reconciliation.

The invoice should also provide an itemised breakdown of goods or services, including quantities, unit prices, applicable taxes, and totals. GST rates and calculated amounts must be clearly stated, along with the final payable amount after any discounts or adjustments.

Common E-Invoicing Use Cases

A small or medium enterprise supplying services to government agencies can submit invoices digitally through Peppol, enabling faster approvals and more predictable payment timelines.

Retailers and distributors can receive supplier invoices directly into their accounting systems, reducing manual data entry and improving accuracy in financial records.

For cross-border transactions, a Singapore-based company and an overseas trading partner connected to Peppol can exchange invoices seamlessly, ensuring consistent documentation without additional integrations.

How Aarav Solutions Enables InvoiceNow Adoption

Aarav Solutions helps organisations adopt InvoiceNow with minimal disruption to existing finance and billing operations. Our solutions integrate with ERP and accounting systems, enabling compliance while preserving established workflows.

We support the generation of Peppol-compliant invoices aligned with BIS Billing 3.0 standards and enable secure connectivity to the Peppol network through certified Access Points. Automated validation ensures invoices meet regulatory requirements before submission.

Our approach also supports efficient handling of credit notes and invoice adjustments while maintaining a complete audit trail. Solutions are designed to scale for high invoice volumes and support both outgoing and incoming electronic invoices.

In addition, Aarav Solutions provides ongoing advisory and operational support, helping businesses manage onboarding, compliance alignment, and day-to-day e-invoicing operations with confidence.

Conclusion

E-invoicing through InvoiceNow is rapidly becoming a standard way of doing business in Singapore. While mandatory for government suppliers and certain GST-registered entities, its benefits extend well beyond compliance. Faster payments, improved accuracy, lower processing costs, and stronger audit readiness make e-invoicing a practical and forward-looking investment.

Early adoption helps organisations stay ahead of regulatory requirements and ensures smoother, more reliable transactions across domestic and international markets.

Aarav Solutions supports businesses throughout this transition, enabling compliant, efficient, and future-ready e-invoicing operations. To get in touch with our experts contact us at cocreate@aaravsolutions.com

Frequently Asked Questions

What is e-invoicing in Singapore?
It is the digital exchange of invoices using IMDA’s InvoiceNow framework on the Peppol network, allowing invoices to move directly between accounting systems.

Is e-invoicing mandatory for all businesses?
No. It is mandatory for suppliers to government agencies and for certain GST-registered businesses. Other organisations may adopt it voluntarily.

What are the main benefits of e-invoicing?
E-invoicing speeds up payments, reduces errors, lowers processing costs, and supports accurate GST reporting and audits.

Do SMEs need to adopt InvoiceNow?
SMEs are encouraged to adopt e-invoicing, especially as grants and support are available. Mandatory adoption depends on GST registration and the IRAS implementation timeline.

How does Aarav Solutions help with e-invoicing?
Aarav Solutions provides InvoiceNow-ready, Peppol-compliant solutions with automated validation, scalable processing, and ongoing advisory support to ensure smooth and compliant e-invoicing operations.