After numerous delays by the Secretary of State of the Brazilian Government’s Tax Department (SEFAZ), version 3.10 of the Public System of Digital Tax Declarations (NF-e), is moving towards its deactivation. The joint use period with the updated 4.0 version will end the following July 2. As of this date, Brazilian companies will need to technologically adapt to the changes involved with this new version, with no tax declarations being admitted in the old format.
The NF-e 4.0 introduces new features that will improve Brazilian digital invoicing both in format and content. Through these changes, more accurate information will be obtained, that will provide a tighter tax control as well as simplification of processes to be carried out by the issuer. This is an update that addresses new regulatory features introduced in the last two years, as well as needs suggested by taxpayers. The changes focus on existing fields and in new validation rules. In addition, security is improved with the adoption of the TLS 1.2 protocol or higher.
The new features in relation to digital invoicing are constant, and in relation to them, a technological supplier will need to ensure that their clients, both the businesses as well as their solutions, are capable of meeting these new requirements. EDICOM through the International Observatory of e-Invoicing, is involved in active knowledge management to ensure its solution to regulatory changes that take place periodically throughout various countries is permanently updated (formats, tax control processes, communications, signatures etc.).
It’s for this reason that EDICOM is prepared to complete the migration to the new version of the NF-e. Through its DF-e integral platform, the technological changes of this new version will be implemented as well as adaptation to the new format in a way that is agile, easy to implement and transparent for their clients.
In relation to businesses, there are three type of digital tax documents: NF-e for invoicing of products; NFS-e for the invoicing of services; and CT-e for the invoicing of specific goods transport services.
Through the EDICOM DF-e solution, the issue and receipt of these tax documents are optimized. It allows automation and integration of the tax information flows in a way that is swift and profitable. This is a tool that is totally integrated into the internal management system, that allows automation and centralization of 100% of tax documents exchanges with any client or supplier, irrespective of the technological or administrative barriers.
Latest tax features: EFD-REINF and CT-e
Changes in the Public System of Digital Tax Declarations are not the only new feature implemented by SEFAZ in recent months. Since January 2018, the EFD-REINF (Digital Tax Bookkeeping and Other Tax Information), is mandatory in Brazil. This is a monthly notification of taxation in service contracts, whose aim is to speed up the tax process as well as simplifying the sending of documents and prevention of tax fraud. Its mandatory nature has been phased in gradually. The first segment at has had to comply with this requirement are businesses with revenue that exceeds R$ 78 million in 2016 and as of July 1, 2018, those with revenue up to R$ 78 million in 2016.
In order for this monthly declaration to not cause problems for affected businesses, having an efficient NFS-e issue and receipt digital system is vital. Given that the NFS-e do not come in a national standardized format, as they depend on each prefecture, businesses may find it challenging when integrating all relevant information within their management systems.