Though they are three of the newest countries in Latin America to require e-invoicing and tax reporting, compliance in Colombia, Peru and Ecuador is already full of complexities. Listen to our webinar replay to learn about the unique requirements, forthcoming changes and best practices in each of these countries. Here’s a sneak peek.
Announced in April 2016, Colombia’s e-invoicing pilot phase is halfway complete. With 58 participating companies from a variety of industries, the pilot program is testing the technologies and processes involved in the requirements from Colombia’s tax authority, the DIAN, before they are rolled out to other companies. As the public launch of e-invoicing in Colombia approaches, companies must prepare for the impact to accounts receivable, accounts payable and reporting.
One of the newest countries to introduce e-invoicing – libros reports were due for the first time in January 2016 – Peru is already making waves with updated mandates. Though e-invoicing just became standard for the majority of companies this year, the country has added new electronic reports for the largest corporate taxpayers – 10+ accounting reports covering sales, purchases and inventory – as well as new initiatives designed to keep tax payments from foreign invoices within the country. These retention and perception tax changes can have major cash flow implications.
Ecuador began requiring e-invoicing in 2015, but in an unprecedented move in Latin America, is now moving its compliance initiatives to an offline schema. Instead of authorizing electronic documents in real-time, the government now provides a 24-hour cushion, allowing companies to be more efficient in their shipping processes. While this new process changes internal timelines and operations, it does not change the details required, contingencies needed or necessity of 100% accuracy to avoid audits and fines.
Despite a common goal – maximum tax collections and revenue – these three countries show the individual complexities involved in e-invoicing and tax reporting initiatives. To learn more about the unique requirements in each of these countries, as well as how to prepare, listen to webinar replay.