Factura-e to bring 51 million euro profit

  • As of January 1, 2014 the Administration will have a single accounts payable record
  • Electronic invoicing with the Public Administration becomes mandatory as of January 15, 2015

Currently pending its definitive approval by the Senate, the draft bill on electronic invoicing and creation of a single accounts payable record in the public sector comes into force as of next year. This initiative, which went through Congress last October 23, aims to minimize late payment by the Administration, improve the competitive edge and efficiency of businesses and reduce administrative burdens. According to government calculations, these measures could mean annual savings of €51 million.

The changes in this draft Bill will be applied in two phases. The Public Sector will be the first to take up this new billing procedure. And as of next January 1, all Administrations will have an accounting record for invoices, whose managers will forward the information on bills received to the Tax Authority. This will allow immediate knowledge of the real economic situation, making it possible to set budgets more in line with the actual situation, so making public accounts more reliable.

In a second phase, from January 15, 2015, electronic invoicing, under the designated E model, will be mandatory for all bills for sums over 5000 euros. In addition, suppliers and service providers must present their invoices and carry out all their transactions with the accounts registry of the Administrations electronically, so that a record is kept of the delivery date. The aim is to ensure payment within 30 days, following the requirements laid down by Brussels. Otherwise, the Administration will have to pay the supplier the corresponding interest.

This is not the first initiative from the Spanish Government to roll out electronic invoicing in the public sector. As explained in our Expert Analysis “Factura-e: electronic invoicing with the Spanish public administration”, the first ruling dates from 2003, when Royal Decree 1496/2003 transposed Directive 2001/115/EC, which opened the doors to this format in Europe. “In recent years in Spain, discrepancies have cropped up in the requirements for electronic invoicing in the public and private sector”, explains our International Projects Manager, Miguel Soler.

However, this time it seems that the draft bill has a solid foundation which should facilitate the rollout of Factura-e. On one hand, large investments have already been made by suppliers and creditors of the Administration, who had already primed their Information Systems to issue electronic invoices in 2009, under a previous initiative.

On the other, the rollout of e-invoicing is already a reality in the European Union Member States, in line with the Digital Agenda. Italy and Belgium have taken steps similar to those of the Spanish government in recent months. Other countries such as Sweden, Norway, Finland and Denmark now top the rankings for uptake of this format in the public sector.

Regulation (EU) No. 1169/2011: Information required on food products

 

Regulation (EU) Nº 1169/2011 of the European Parliament and Council, October 25, 2011, comes into force in December 2014. The ruling stipulates that suppliers and distributors of food products within European borders are obliged to include additional and detailed information on product features.

Article 9 of the regulation sets out a detailed list of mandatory particulars with the information that product manufacturers and distributors must provide for the end consumer, for example extended nutritional information, place of origin of the product, or a full list of ingredients.

The regulation, drafted to provide more extensive protection of the rights and health of European consumers, also clearly states that the end user should have access to all the information and always prior to purchasing the product.

This way, the regulations specify that the information must be present both at the physical point-of-sale in the form of labelling or other accompanying material and in remote sales (article 14), such as purchases made through the distributors and suppliers’ online stores.

How can EDICOMData help me?

EDICOMData is a product data synchronization system with a communication module (Business to Consumer) developed to provide information processed for consumption by the end user of the products, for example food information.

Data treatment

EDICOMData is able to provide the data in attractive product files, adapted to the needs of each distributor and based on the unique information published by the suppliers.

Online information access

E-commerce portals can invoke the EDICOMData records to furnish the consumer with detailed food information in accordance with Regulation 1169/2011. This saves online stores having to manage and maintain complex databases in their 2.0 platform.

Added Value Services

EDICOMData has complementary services that streamline and simplify the management of a large amount of data and product references in the client’s product master file.

DATA Outsourcing

Outsource data uploading and validation prior to publication to ensure files 100 % in line with the European regulation.

Multimedia Data Information

Multimedia content publishing service for images, videos or audio clips. These data can be delivered directly to the consumer, incorporating them into product files.

EDICOM reaches collaboration deal with VERTEX

 

EDICOM and VERTEX, two of the leading vendors of digital billing solutions in Latin America, have reached a collaboration agreement for both companies to share their expertise. Their technology platforms guarantee global billing solutions for Central and South America.

VERTEX solutions simplify the tax calculations to be included in an invoice, whereas those from EDICOM ensure the issuance, delivery and receipt of electronic invoices in line with the legislation of the different countries.

BRAZIL AND LATIN AMERICA: STRATEGIC REGIONS FOR U.S. BUSINESSES

U.S. companies have close trade relations with the Latin American markets. One of the most complex countries when it comes to doing business is Brazil, whose tax and fiscal system calls for no small effort from businesses, obliging them to update their IT systems to come into line with current billing legislation.

This complexity is based on two key obstacles:

High degree of complexity in tax calculation

The tax and customs administrations of each of the Brazilian states maintain a particular tax base of their own which applies to goods movements within the boundaries of each state, making it difficult to adopt a single rule for calculating the taxes to be applied in each invoice.

In the case of service provision things are even more complicated, as the tax system may differ depending on the Prefecture (municipal area) assigned to the service provider that has to issue the invoice.

Issuance of invoices in electronic format and online statement to Brazilian tax authorities

Brazilian tax authorities impose a compulsory electronic system to monitor and control operations involving the movement of goods and services. The system calls for the generation of an electronic document (XML) designated “Nota Fiscal” and its online declaration via web services for validation and authorization.

An invoice or “Nota Fiscal” not duly authorized by the Brazilian tax administrations has no validity and cannot be forwarded to the customer liable for payment.

 

EDICOM & VERTEX: COMPLEMENTARY SERVICE

VERTEX y EDICOM provides technological service platforms that enable US companies to surmount the 2 major barriers that any U.S. Company faces when rolling out billing systems for Brazil.

Vertex: International Tax Calculation Platform

Connecting the client’s IT system to the Vertex platform allows them to calculate the breakdown of taxes to apply on a given business transaction.

This relieves the invoice issuer of the need for detailed knowledge of a complex and changing tax system, which taxes commercial transactions on the basis of a range of criteria that it is difficult to keep updated.

This way, the Vertex platform user overcomes the problems arising from the complexity of tax calculations, thanks to a transparent solution that enables them to include the taxes associated with each trade transaction carried out in their accounting and bills.

Edicom: International Electronic Billing Platform

The EDICOM Electronic Invoicing Platform simplifies the generation and reception of the electronic documents that make up the bills.

This platform ensures the issuance of these documents in line with the standards defined in each case and their online statement to the competent tax authorities.

To this end, the platform implements complex data transformation processes to adapt the billing records residing in the client’s ERP to the standard demanded by the tax authorities.

The EDICOM solution includes conducting communications with the different tax authorities to manage the approval processes laid down by legislation and enables sending of the definitive invoice using technologies such as EDI, or specific web solutions that speed up delivery to the end client.

To broaden your knowledge of e-Invoicing in Brazil, you can download our White paper.

ABOUT VERTEX

Tax-processing technology industry leader, providing software and services for the management and calculation of the tax bases of each country, enhancing the efficiency and accuracy of tax administration processes and company accounting.

www.vertexinc.com

 

NF-e version 3 gets the go-ahead

Technical note NT2013.005, published by the Secretaría de Fazenda, announces the rollout of version 3 of the NF-e digital invoice. This version change affects the structure of the XML file, the validation process and webservice communications with the Public Administration.

The dates set by the Secretaría de Fazenda for implementation of NF-e version 3 are as follows:

  • 02/12/2013 àTest framework start-up
  • 10/03/2014 à Production framework start-up, coexisting with version 2
  • December 2014 à End of coexistence period for versions 2 and 3. Exclusive use of the new version becomes mandatory.

At EDICOM we are currently analysing this new version with a view to incorporating it in our International Electronic Invoicing platform before December 2013.

This way, any NF-e issuing business using the services of our Electronic Invoicing solution in ASP (Application Service Provider) mode has compliance with current regulations assured at all times, as well as updating of their data schemas according to the SEFAZ specifications.

EDICOMData perfects product data synchronization platform

 

In the past 10 years or so, different initiatives have been rolled out to promote real-time synchronization of product data, such as the GDSN (Global Data Synchronization Network). This is an initiative by GS1 International, in which EDICOM, always in line with B2B communication standards, plays a part through EDICOMData, our certified electronic data pool.

However, so far the response from suppliers and distributors around the world has not been great, even though their need to share and efficiently manage a large volume of data and product references is increasingly urgent.

EDICOM, by studying the business needs of several clients, has implemented the improvements needed to make EDICOMData: An integral tool with product file managing capacity made-to-measure for each sector, business or consumer and all transactions carried out from a single framework.

 

EDICOMData :: KEY FUNCTIONALITIES

GDSN

EDICOMData is a GDSN data pool approved by GS1, ready to connect and synchronize the master data catalogues of any business present on the network.

B2C solution (Business to Consumer)

EDICOMData provides companies with product files designed to be offered directly to the end consumer of the products, through automatic indexing in their online stores.

Customized Data Sync Platform

EDICOMData lets you roll out customized data synchronization projects for subscribers and publishers. This way, it is possible to integrate any key information for the trading relations between vendors and distributors that might not be considered in models such as the GDSN network.

Multimedia Data Information

EDICOMData allows the publisher companies to index multimedia files as images, videos or audio clips which are available to the Catalogue Subscribers. These remain available to the distributor partners to provide quality information to end consumers.

DATA Outsourcing

EDICOM offers clients the outsourcing service for recording and validation of all product data prior to their publication in the product files.