eInvoicing Standards Continue to Push the AP Revolution
- All Industries
With Brexit, trade wars, economic crises and recessions, 2019 has been far from boring. One of the measures governments often take to address tough economic conditions, by strengthening the collection of indirect and customs taxes, is to implement electronic invoicing mandates. New mandates announced or implemented in the last year include Italy, Greece and India, with more on the horizon. As a result, eInvoicing is becoming increasingly relevant for organizations of all sizes.
There are many things to keep in mind to make sure you are in compliance with eInvoicing mandates wherever you do business, the most important being mandatory content, integrity and authenticity, and auditability.
Important Considerations for eInvoicing Mandates
First, you need to make sure you are collecting the right data on the invoice, depending on where the order is billed and where payment is sent. This varies by country and needs to be validated that your electronic invoice contains the appropriate information.
JAGGAER ONE Invoicing provides country-specific document configuration templates that have been verified by third party tax and compliance experts. If any required fields are not included, the supplier is immediately notified for correction.
Integrity and authenticity
A primary requirement of all global eInvoicing legislation is to guarantee the authenticity of origin and the integrity of content (inalterability). In most countries digitally signing an invoice offers the most certain guarantee.
JAGGAER ONE Invoicing is integrated with SOVOS Trustweaver to sign all electronic invoices digitally. Once the invoice is digitally signed, the appropriate fields are locked in the JAGGAER ONE solution so that the mandatory data cannot be edited.
Tax authorities reserve the right to audit all taxpayers to ensure they are collecting the appropriate tax amounts, so invoice data must be retained for a mandatory period – typically between 4 and 11 years. Record keeping for long-term auditability is therefore critical.
JAGGAER ONE Invoicing creates a PDF version of each electronic invoice, along with a detailed audit log of all the steps involved in issuing the invoice. Invoice data is retained within JAGGAER ONE for as long as required. In some cases, third party / external archival may be required and for these situations additional SOVOS TrustWeaver integration is available.
Even though there are major changes happening around the world, and the growth in eInvoicing mandates is accelerating, JAGGAER continues to adapt so that our customers can bring all invoice spend into a single system with unified processes that can be deployed globally.