Mexico’s biggest businesses choose Edicom as their eInvoicing provider

With barely two years since the beginning of the initiative Mexico has firmly established its system as one of the pioneering eInvoice standards globally.  CFDI has proven to be a dynamic solution allowing businesses issuing invoices to benefit from important advantages in managing their administrative processes.

Mexican companies must issue their invoices in electronic format, through a procedure that requires them to engage the services of an authorized provider (ACP or Authorized Certification Provider) to validate the document created, certifying it and declaring it to the country’s tax authorities.

This system is being widely adopted, as shown by the SAT (Tax Administration Service) statistics for the period up to 31 January 2013:

  • 581,924 taxpayers issuing invoices following this model.
  • 669,323,719 CFDIs (Digital Tax Invoices) issued in the country.

 Edicom consolidates CFDI issuing service

Edicom became the first authorized ACP in Mexico, gaining this accreditation in November 2010.

Since then, Edicom has strengthened its position in the market as one of the country’s major ACPs, with rising figures confirming a growing trend in the number of CFDIs issued by the certification service.

Figure 1: EDICOM CFDI issuance service progress until January 2013

  • Total CFDIs issued in Mexico: 669,323,719
  • CFDIs certified: 55,956,133
  • % CFDIs issued by Edicom: 8.36%
  • Taxpayer issuers in Mexico: 581,924
  • Taxpayers using Edicom: 2,830

 Comparing Edicom’s CFDI issuance details with the statistics from the SAT shows that it is one of the country’s main issuers, with a total of 55,956,133 CFDIs up till 2013.

This volume of electronic stamps accounts for 8.36% of the total invoices issued by the 62 ACPs accredited by the SAT.

Edicom provider chosen by the biggest billers

The more than 669 million CFDIs issued and cited in this analysis were generated by a total of 581,924 taxpayers.

We have identified how 8% of these invoices are certified by Edicom, when actually only 2,830 taxpayers (less than 1% of the total) are users of the service provided by Edicom.

These data suggest that the businesses using CFDI issuance services and opting for Edicom coincide with the largest issuers of electronic invoicing in the country and therefore some of the largest enterprises in the world.

International Electronic Billing Specialist

Edicom is a world leader in the development of data integration solutions between companies such as EDI (Electronic Data Interchange)

Its upward trajectory since 1995 has made it the provider chosen by some of the largest companies worldwide to roll out specific data integration solutions between businesses, including electronic billing systems.

Numerous projects developed by Edicom include complex billing platforms that enable businesses to concentrate their legal invoice issuance solution in one sole provider, adapted to multiple requirements in Mexico, Chile, Guatemala, Argentina, Brazil, Spain, France and Italy, etc.

Edicom’s technological capacity to undertake large-scale projects with proprietary solutions is further strengthened by specific management services that enable total outsourcing of their client companies’ data integration solutions.

Transposition of European Directive on electronic invoicing into French law

 

The transposition of Directive 2010/45/EU into French legislation on electronic billing is now a fait accompli.

The pertinent articles of the General Tax Code (CGI) already include the lines laid down by the Directive. All that remains pending is publication of the decrees defining the specific steps to be taken when issuing electronic invoices in France.

These decrees must establish mechanisms to help enhance the guarantees of integrity and authenticity of the invoice source, in line with that stipulated by the European regulation.

Summary

Since the approval of Directive 2001/115/EC, electronic billing has been governed by the Community regulations, stipulating as a general requisite for acceptance that the integrity of the content and authenticity of origin must be assured. The approval of Directive 2010/45/EU modifies the legal framework of electronic invoicing and directly affects this requirement, which involves adjustments and reforms in the legislation of member states.

In this post, we analyse the different alternatives and the changes which will foreseeably end up being implemented in France.

The Key Assuring electronic invoice authenticity and integrity

E-billing in France is regulated by Article 289 of the General Tax Code. This article resumes the requirements to be met by digital invoice issuers in 2 points:

  • Nº 289V by the use of electronic signature as a mechanism to guarantee the integrity and origin, especially of non-structured documents such as PDFs.
  • Nº 289 B, stipulating specific procedures for those invoices generated by means of structured languages such as EDIFACT (validations, recapitulative invoice lists, trading partner listings).

The first consequence of the effort being made by the French authorities in transposition of the Directive is specified in LOI n°2012-1510 du 29 décembre 2012 – art. 62 (VD), which amends article 289 B and modifies nº 289, expressly acknowledging the three alternatives considered by the European Directive:

  1. Reliable audit trails verifying the relation of the invoice issued or received with the effective acquisition of goods or services upon which it is based.
  2. Advanced electronic signature procedure defined in Article 223 of Directive 2006/112/EC of 28 November 2006. A decree specifying the conditions for the issuance, signature and safekeeping of invoices.
  3. Use of structured messages in a standard agreed between the parties, which can be read by a computer and processed automatically and unambiguously, in the conditions set forth by said decree.

And how will these changes affect the way we issue electronic invoices in France?

Although final publication of the definitive decrees detailing the specific procedures remains pending, 2 lines of action seem to be confirmed:

A-Greater requirements on electronic signature procedure: Everything seems to indicate that the stipulations will include the use of acknowledged electronic signature certificates, which provide greater assurances than non-recognised bills.

B-Maintenance of the procedures described in 289 B: Most of the procedures described in Article 289 B of the CGI are expected to be maintained. The question of whether some checks, such as the list of partners, will continue to be implemented, and if the use of other structured languages such as XML will be allowed, remains pending confirmation.

EDICOM is good to go

Edicom, international EDI technology and electronic invoicing provider, has solutions adapted to multiple legislative frameworks for electronic invoice issuance and processing.

Our solutions now implement the procedures set forth in Article 289 B and are able to sign massive volumes of documents on the basis of recognised electronic certificates.

Additionally, we have the Edicom Certification Authority Delegated Signature Service, which allows us to add acknowledged signatures to electronic invoices without the issuers having to manage and maintain their own electronic certificates.

EDICOM provides global solutions for working in harmony and at the highest technological level considered in the European legislation, as well as the different transpositions.

 

EDICOM updates e-invoicing platform in accordance with French Law No. 2012-387.

 

On January 1st 2013, a new provision of law n° 2012-387 of 22 March 2012 came into force, regarding simplification of the law and the streamlining of administrative procedures, requiring the inclusion of an additional mention in electronic invoices.

This law states that all invoices generated and sent in France must contain information on the indemnification and expenses to be paid by the debtor in the event of breach of the agreements set forth regarding payment of the same. The EDICOM technology platform has updated its electronic billing solutions to fall into line with this requirement, allowing all users issuing digital invoices in France to comply with the regulation.

Find out about Law Nº2012-387

Law Nº 2012-387 states that debtors having failed to pay an invoice once the due date has expired will be subject to an economic penalty. This sanction serves as compensation to creditors to cover the expenses incurred in recovering an invoice payment. The amount of said compensation is set by the Decree of 2 October at the sum of 40€.

Previously, Article L441 -3 of the Commercial Code obliged French businesses to include specific information in their invoices concerning the payment period and discount terms and conditions in the penalty for late payment. With the entry into force on 1 January of Law Nº2012-387, these details are extended, as companies are now required to include a direct reference to the compensatory sum of 40€ for invoice recovery management. Said reference must be included in the invoice, in the payment conditions field.

Permanent Electronic Invoicing Observatory

At EDICOM we have a Permanent Electronic Invoicing Observatory run by dedicated technicians, keeping us constantly up-to-date on the changes taking place in the regulations on electronic invoicing in all countries worldwide.

This watchdog service is a guarantee for all our customers and users in 3 key areas:

  • Total adaptation of our e-billing solutions
  • Permanent updating
  • Fast introduction in new countries

 

EDICOM successfully concludes tests for the exchange of electronic invoices with the Italian public administration

EDICOM was the first international specialist company in electronic invoice management and transmission to successfully conclude the test for sending invoices in XML format with digital signature, to the Italian public administration.

The tests were conducted in a pilot project sponsored by the Italian PA, with the aim of testing the electronic invoicing interchange system, through which public administration suppliers will have to transmit electronic invoices in the near future.

Among those who participated in the project were several Italian public administration bodies (Sogei, Agenzia delle Entrate, Agenzia per l’Italia Digitale –ex DigitPA–…) and companies specialised in electronic invoice and transmission.

In the e-invoicing sphere, EDICOM is a pioneer operator in certification for paperless invoicing solutions, a field regulated by European Directive 2010/45/EU (ex 2006/112/EC and 2001/115/EC). In fact, the company’s own solutions have won certification in many European countries, where the community directive has been implemented with national legislation, and since 2008 EDICOM is a Certification Authority and Time Stamp Authority at European level.

The EDICOM platform supports several security models, all based on X.509v3 certificates. By definition, these systems ensure the confidentiality, integrity and non-repudiation of messages, required by European Directive 2006/112/EC in matters of “paperless invoicing”.

Features of the solution for management of electronic invoicing and electronic storage:

  • Configuration at partner/message level.
  • Validation and storage of invoices in their original format.
  • Guaranteed retention of information attesting to the authenticity of the original and the integrity of the content of each invoice (digital signature and time stamp).
  • Accessibility and legibility of documents during the entire retention period required by law.
  • Support for several security models: S/MIME, HTTP/S, SECURITY EDIFACT ISO9375-5, XML Dsig, XadES, etc., in compliance with the requirements of Community Directive 2006/112/EC.
  • Filing of the certificate and binding signature of the document.
  • Verification of the validity of the certificate on issue and reception.
  • Support for automatic processing of certificate management. System for delivery and automatic loading of certificates.
  • Alert messages for imminent expiry of certificates.
  • System for viewing, selective search, copying and printing of invoices both in the original and in legible formats.
  • System for generating PDF invoice documents.