Italy implements e-invoicing regulations to tackle fraud
Italy have recently taken the proliferation of electronic trading a step further than most of their European neighbours by introducing an obligatory e-invoicing decree relating to all B2B transactions for those companies residing in Italy by January 2019. B2B transactions will need to be sent directly to the government, who then relays this to their customer whereas B2C transactions need to copy the Italian Revenue Agency into their message. Importantly, any company trading into Italy may also be required to abide by the legislation if mandated by their Italian trading partner. The legislation has been introduced in a bid to tackle increasing electronic trading security concerns relating to tax fraud, the decree will allow the Italian Revenue Agency to automatically collect details of e-invoices, before the document is forwarded on to your customer.
Deloitte highlight how all invoices transacted within Italy will have to be in a specific format (XML-PA) and be issued through the ‘Sistema di Intercambio’ system (‘SdI’), which is already used to send e-invoices to public bodies within Italy.
Businesses based in Italy, as well as those outside the country who have been mandated to abide by the new legislation now need to choose an EDI/ E-invoicing provider who can alleviate invoicing concerns, whilst also keeping abreast of the changing environment they’re operating in. The business landscape has become rapidly more competitive in the last decade and this accentuates the need for businesses operating within Italy to choose an EDI provider who can contribute to and facilitate success.
In recent years, e-invoicing has spread rapidly throughout Europe, in many cases made mandatory by Governments trying to tackle tax fraud and invoicing anomalies. In a recent TrueCommerce Study, 39.4% of respondents within Europe found that the main benefit of EDI was the reduction of invoicing errors, this figure highlights the extent of the improvement EDI has delivered to these countries.
TrueCommerce EDI and e-invoicing solutions, delivered as a fully managed service, enables our clients to quickly react to external changes in the market such as the regulations being introduced in Italy which are fully supported. The managed service also allows customers to transact electronic business documents, remove paper invoices and streamline internal processes. All TrueCommerce solutions are underpinned by an SLA which outlines the proactive measures we will take to ensure the smooth running of your solution.