E-INVOICE

(IDR / Invoice Data Reporting)

A simple, cost-efficient and multi country add-on solution from Lupus Consulting helping companies to meet compliance needs on time at a minimum risk

BACKGROUND

There is a global wave of increasing control of Tax Authorities. In the European Union an additional incentive for setting up e-invoicing is the relevant European directive. This aims to have converted 50% of all invoices into e-invoices by 2020. The technology is now finally mature.

MAIN FEATURES

  • No need for additional SAP licenses, subscriptions (e.g. for SAP eDocument Framework or SAP Cloud Platform Integration Service)
  • Quick and easy installation on internal company infrastructure
  • Supports network setups where SAP is not connected to the internet
  • Customization options enabling Clients to adapt to smaller changes in the law
  • One common ALV dashboard functionality for monitoring communication
  • Can manage more legal entities (company codes) in the same SAP client
  • Can manage more SAP instances, or clients in the same legal unit

SOLUTION LANDSCAPE

  • A document, such as a sales invoice or a credit note, is created in SAP (SD, MM, FI)

  • A corresponding XML format, defined by the Italian tax authority, will be automatically generated. This standard is called FatturaPA. Official EU syntaxes will also be permitted

  • A qualified signature is attached to the invoice, which is then sent via the SdI exchange system (Italian tax authorities)
  • In the Lupus SAP e-Invoice Dashboard it is possible to monitor all statuses
  • The Sistema di Interscambioalso provides the sender with invoice status notifications, as required by the legislation
  • Approved documents will be sent back to the
    customer by the government
  • Larger companies have the option to connect their
    ERP systems directly to SdI in order to process invoices and notifications automatically

In Italy, electronic invoices must also be archived digitally. The requirements are complex. The retention period for invoices is ten years, during which time it must be ensured that the invoices cannot be altered. To achieve this, the archived invoices are grouped (pacchetti di archiviazione) and given a qualified electronic signature and a time stamp. This process must be completed no later than three months after the submission deadline for the annual tax return.

An other major advantage of B2B e-invoicing in Italy is the elimination of the Spesometro, a report of all tax- relevant business cases sent electronically to the Agency of Revenue. The Spesometro was introduced to decrease tax evasion, now it is unnecessary due to the transparency achieved with e-invoicing.

Italian Legal Requirements

The Italian government has announced that severe sanctions will be imposed if an organization does not comply with the new SDI regulations after the deadline of January 1, 2019. Invoices that are not submitted for approval through the SDI system will lead to penalties of 90% – 180% of the indebted VAT.

When do the new regulations start and who is affected?

  • Starting on January 1, 2019, all invoices in the B2B sector must be sent electronically via SdI
  • All suppliers and service providers registered in Italy which send invoices to Italian customers will be required to comply with this regulation

In order to make your SAP ERP system compliant with the SDI regulations, you may need to change some of your current invoicing and GRC processes:

  • Company-specific data needs to be collected and mapped into the documents that are required by the Italian government
  • Review Tax rules if all are up-dated
  • Review business processes and the tasks/responsibilities linked to e-invoices

In order to manage electronic documents that have legal compliance aspects, Lupus provides an e-Invoice add- on. This framework facilitates the creation and processing of inbound and outbound documents that are created in SAP ERP. The solution is user-friendly, supports the country-specific standards and has an integrated dashboard to overview and manage processes.

IMPLEMENTATION METHODOLOGY

The Lupus Consulting methodology structures a project into logical phases and corresponding tasks, delivering projects in significant synergies leading to a project delivery in time, budget and quality.

Lupus SixSquare is designed in a way that it is easily adaptable to support each project situation and need there- fore we ensure a rapid and timely implementation in standard cases in 2 weeks.

TASKTIMINGRESPONSIBLE
AssessmentDay 1Lupus Consulting
Contract and SOW acceptanceDay 1Client
Installation NAV Online invoice solutionDay 2, 3Lupus Consulting
CustomizationDay 4, 5, 6Lupus Consulting
TrainingDay 7Lupus Consulting
Support key user testingDay 8Lupus Consulting
User testDay 8, 9Client
Cut over plan, Go liveDay 10Lupus Consulting

We are dedicated to be a partner for your company to stay compliant with our multi-country solution.

Over the past decade, tax administrations around the world have been engaged in a process known as channel shift. This involves moving away from face-to-face and postal contact with taxpayers to call centers and digital channels.

The primary driver was cost reduction, but tax authorities have also seen the potential in digital improvement to revolutionize compliance and increase tax income.

As a partner for e-invoicing and regulatory reporting, our mission is to keep track of upcoming regulations and provide the most user friendly and integrated solution.

Contact us: Holger Kosboth | holger.kosboth@lupusconsulting.com | +49 177 875 0 600