ZUGFeRD Format: Examples, How to Create & Specifications

The adoption of e-invoicing in Germany is putting pressure on businesses to reconsider how invoices are exchanged between ERP systems, application programming interfaces (API), middleware platforms, and the VAT regime.

One of the e-invoicing formats prescribed in this regard is ZUGFeRD. The ZUGFeRD format is an invoice which consists of both a human-readable PDF and machine-readable XML in one document. Though it seems straightforward, many companies find it hard to implement effectively.

Key Takeaways

• ZUGFeRD is an electronic invoicing format that combines PDF and XML formats within the same invoice file.
• ZUGFeRD provides for automated invoice processing, while still allowing human readability.
• Not all ZUGFeRD profiles are legally compliant under the German Value Added Tax Act (UStG). In this regard, the EN 16931 profile is recommended.
• Integrating an ERP and middleware becomes essential when companies need to validate, archive, and exchange invoices via API.

What is ZUGFeRD?

ZUGFeRD means “Zentraler User Guide des Forums elektronische Rechnung Deutschland”  is an officially accepted e-Invoicing format based on EN 16931 standards and it represents the cross-industry data format used in Germany for hybrid electronic invoices, which embed XML invoices in a single PDF/A-3 document. The format allows both humans and accounting systems to read the same invoice without needing separate files.

How does ZUGFeRD work?

ZUGFeRD works by creating an invoice that is both human and machine readable and combining them into one file. The first step is the generation of a PDF invoice using accounting software, along with machine-readable XML data. The software embeds the XML data into the PDF/A-3 file, resulting in a single document. This structured layer allows ERP systems, tax engines, AP automation software, and accounting tools to read invoice data automatically.

The hybrid file is then sent to customers via email or other electronic channels. Once received, the customer will not need to enter invoice data manually into their accounting system because the receiving system extracts the XML and processes it directly. This reduces invoice errors and the chances of sending or receiving duplicate files. 

ZUGFeRD Format: Elements, Data Fields & Examples

A standard ZUGFeRD format invoice comprises a human-readable PDF with an embedded machine-readable XML (compliant with EN 16931 standards). 

The XML includes the following data fields:

1. Invoice:

• Invoice number.
• Invoice issue date.
• Invoice type code.
• Invoice currency code.

2. Party Information (Supplier/Buyer):

• Name, address, and VAT registration number.
• Purchase order reference/sales order reference.
• Delivery information.

3. Line Items:

• Item description.
• Quantity.
• Unit price.
• VAT rate.

4. Totals & VAT:

• Document totals.
• Discounts, if any,
• VAT category.
• VAT breakdown.

5. Payment Details:

• Payment instructions and bank details.

For example, a manufacturing supplier sends an e-invoice to a German buyer. The buyer opens the PDF for view normally, while their accounting software extracts the embedded XML automatically and posts the invoice into accounts payable workflows without manual entry. For high invoice volumes, this removes hours of repetitive processing work.

Here is a a simple ZuGFeRD format example

ZUGFeRD Profiles

Not every ZUGFeRD profile serves the same purpose. This is where many businesses get confused during implementation. There are five ZUGFeRD profiles, which differ in scope and in compliance with the German Value Added Tax Act (UStG). 

For e-invoicing in Germany, the EN 16931 profile is recommended. However, all five ZUGFeRD profiles have been detailed below.

1. Minimum

The Minimum profile includes only basic invoice reference data like seller details, buyer details, invoice totals, and VAT totals.

It is mainly used as an accounting aid and not for full invoice compliance. Germany does not recognise this profile as a complete invoice under the German VAT Act (UStG).

2. Basic

The Basic profile supports structured line items, prices, quantities, and tax details for simpler invoice workflows.

It works for straightforward B2B invoicing where invoice complexity is low. But businesses should still verify whether trading partners accept this profile. Some organisations increasingly prefer EN 16931 compliance instead.

3. Basic WL

This profile provides information similar to the Basic profile, however it provides only header and summary information and not detailed line-item information. As the name suggests, Basic WL refers to ‘Without Lines’, and is not a complete invoice under the German VAT Act (UStG).

4. EN 16931 (COMFORT)

This is the most important profile today.

This profile is completely compatible with the European standard for electronic invoicing and is highly recommended for use in Germany to ensure compliance with e-invoicing. It enables itemised tax reporting, delivery information, payment terms, and invoice processing.

5. Extended

The Extended profile builds on EN 16931-1 and supports more complex business scenarios.

For example:

• Multiple delivery locations
• Structured payment terms
• Complex logistics data
• Detailed item-level information

Large enterprises and manufacturing businesses often use this profile, where invoice workflows are not simple.

ZUGFeRD Format Versions

Many updates have been made to the ZUGFeRD standard over the years. This section provides a brief summary of all previous and current versions of the ZUGFeRD standard.

ZUGFeRD vs XRechnung: What Is the Difference?

ZUGFerD and XRechnung are two of the formats used for German e-invoicing compliance. Nevertheless, they operate differently. Here are the key differences between the two formats.

How to Create, Send, and Archive ZUGFeRD Invoices?

Generally, companies follow these steps while creating, sending, or archiving a ZUGFeRD invoice:

Generate the invoice

The PDF/A-3 invoice is generated via the ERP system or invoicing software. Structured XML data is embedded in the file. companies could use ERPs like SAP, Oracle, Microsoft Dynamics, DATEV, or even middle-ware platforms for API/e-invoicing integration.

Nowadays, most companies create ZUGFeRD invoices within their ERP environments. Find out how here.

Validate the invoice

The embedded XML data should meet EN 16931 validation rules, as well as be in the correct ZUGFeRD profile, recommended for e-invoicing. Even a single wrong digit in any field could lead to the invoice being rejected.

Send the invoice

Invoices can be sent via the following channels:

• Email
• PEPPOL networks
• API integration
• Vendor portals
• EDI middle-ware

The choice of channel depends on the customer's needs.

Archive the invoice

In Germany, there is a legal requirement for proper, compliant archiving of invoices, in a way that guarantees integrity and auditability. Basically, businesses must archive invoices in a way that prevents any unauthorised modifications.

ZUGFeRD is gaining importance in German e-invoicing since it addresses a tangible issue where companies have the ability to generate invoices that humans can read and systems can process automatically. That is exactly what the format delivers.

However, the use of ZUGFeRD is not limited to generating XMLs. Businesses must also handle ERP integration, validation logic, profile selection, archiving rules, and evolving compliance requirements.

For businesses preparing for Germany’s e-invoicing transition, choosing the right ZUGFeRD profile and integration approach early makes a significant difference later.