Extension of e-invoicing scenarios

The so-called “Crea y Crece Law” introduces the obligation of electronic invoicing between companies and the self-employed, the development of which must be approved before its implementation.

On 29 September, Law 18/2022, on the Creation and Growth of Companies, was published in the Official State Gazette (BOE), amending Article 2.bis of Law 56/2007, on Measures to Promote the Information Society. The aspects amended include the obligation to issue invoices by electronic means.

Electronic invoicing between entrepreneurs and professionals

who does it apply to?

The obligation extends to all entrepreneurs and professionals in their commercial relations with other entrepreneurs and professionals. In addition, it also applies, in very specific cases, to invoicing to private individuals.

how is it introduced?

Both electronic invoicing providers, which offer technological solutions and platforms, and in the case of proprietary systems, must guarantee interconnection and interoperability between platforms and solutions. In the first case, such interconnection must be free of charge. Likewise, it is expressly established that the recipient may not require the use of a predetermined platform. In any case, it is expressly established that the recipient may request a copy free of charge within a period of 4 years after the issuance of the electronic invoice.

Particulars

Section 4 states that the aforementioned service providers may issue electronic invoices in their relations with private individuals, provided that the latter accept or require it, without prejudice to the volume of operations or number of employees. Exceptions: travel agencies, transport services and retail trade activities are exempt from this obligation, except in those cases in which the contracting of the service has been carried out by electronic means. It should be noted that the article establishes a provision whereby the Government may increase the number of companies that are obliged to maintain a telematic dialogue with customers or users, either because of the type of service they provide or the volume of turnover, even if these companies do not provide services of economic importance to the public.

Requirements

Remember that the requirements to be met by electronic invoices are the same as those regulated in the specific regulations on invoicing. Similarly, computer or electronic systems and programmes must comply with the provisions of the General Tax Law, in terms of guaranteeing the integrity, conservation, accessibility, legibility, traceability and unalterability of the records. In addition, with regard to the consultation of invoices by customers, they will continue to be able to access them even if their contract with the company has been terminated or they have withdrawn their consent to receive electronic invoices. However, they must be provided, free of charge, with a simple procedure to revoke their consent to receive invoices by this means, if they so wish.

Penalties

As regards the penalty system, companies that are obliged to offer electronic invoices to their customers and do not offer this possibility, or companies that fail to comply with the obligation to provide access to electronic invoices to their former customers, may be warned or even fined up to 10,000 euros. The Secretary of State for Digitalisation and Artificial Intelligence has the power to impose and assess the sanction, in accordance with the provisions of Law 6/2020.

Entry into force

Entrepreneurs and professionals with an annual turnover of more than eight million euros: For entrepreneurs and professionals with an annual turnover of more than eight million euros, this law will enter into force the year following the approval of the regulatory development. Entrepreneurs and professionals with an annual turnover of less than eight million euros: Forentrepreneurs and professionals with an annual turnover of less than eight million euros, this law shall applytwo years after the approval of the parliamentary development.

However, in the wording of the eighth final provision regulating the entry into force of the Law, it mentions that Article 12 is subject to obtaining the Community derogation from Articles 218 and 232 of Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax.

In view of the above, AddVANTE will monitor this issue and the regulatory development in order to develop this subject in subsequent publications.