Five reasons to implement the Electronic Tax Document
The use of e-invoicing is growing by leaps and bounds worldwide. In Chile, the Electronic Tax Document (DTE) is now mandatory for large companies and in 2018, it will be compulsory for all taxpayers. However, an increasing number of companies are signing up to the system voluntarily. In fact, according to the Internal Revenue Service (SII), currently more than half of all invoices are issued in electronic format.
The question is: Why did the use of electronic billing increase? Rolling out this system gives rise to a multitude of advantages, which we can sum up in these five points:
Increased savings. E-invoicing with the DTE cuts business costs. As reported in several studies, e-invoicing can lead to savings of up to 80 %, depending on the size and type of company. In this sense, the biggest cost-cutting occurs in sending documents, paper and printing. In this other article, you can find out more about this aspect.
Productivity boost. Automation of administrative procedures cuts down the chances of error and gives faster and easier access to invoice receipts, increasing productivity. Moreover, taxpayers issuing DTE do not need to go to the SII (Tax Agency) offices to stamp their documents, as authorizing the folios takes place online.
Delivery time for invoices is reduced, meaning faster payment. The use of electronic means speeds up and streamlines the process in all directions.
Enhanced security for documents. Thanks to certain mechanisms such as electronic signature, authorship and integrity of the invoice is assured. But that’s not all. E-invoicing also reduces the likelihood of making mistakes or losing the documents, resulting in greater efficiency.
Environmentally friendly. With the DTE, fewer printed copies of invoices are needed. In addition, the infrastructure required with this system is much less than in the traditional process, as all the documents are stored digitally. A study carried out by EDICOM in 2012 calculated that, thanks to electronic solutions, the company's customers no longer needed to print out 800,000,000 sheets. This means avoiding cutting down 56,889 trees. In other words, with e-invoicing companies contribute to protecting the environment, while saving time and money.