Today, August 1, is the deadline for small and medium-sized businesses in Chile to take up e-invoicing. The obligation affects all companies located in urban areas that earned between 2400 UF and 100,000 UF in the past year. In total, it is estimated that some 90,000 SMEs meet these requirements and, from now on, may only use the Electronic Tax Document (DTE).
To avoid confusion, the Internal Revenue Service (SII) has included a checking tool on its website so that companies can check if they are designated e-invoice issuers or not. Bear in mind that failure to comply with the rules can lead to sanctions for these taxpayers and serious difficulties when it comes to billing for their products or services. To this end, the SII will allow a short deadline extension to companies that are still in the software implementation process.
Country at the cutting edge
Chile is currently one of the world's most advanced countries in e-invoicing uptake. In fact, it was the first Latin American state to introduce this system in 2003. Over the years, thousands of taxpayers voluntarily decided to join the DTE in order to boost efficiency and cut economic costs. However, in 2014 the SII decided to make it mandatory through Law N°20.727, with a view to promoting widespread use and maximizing the benefits.
To facilitate migration, the regulations set out a gradual inclusion in the DTE scheme. As it stands, this technology is already mandatory for large companies (which joined up in November 2014) and for urban SMEs, starting today.
The next step will be the rollout of e-invoicing in medium-sized rural enterprises and urban microbusinesses. The deadline for these taxpayers extends until February 2017. One year later, in 2018, the drive towards widespread use of DTE will be completed with the inclusion of rural microbusinesses.
How to issue DTE?
EDICOM has created an e-invoicing platform that enables companies to fully automate the process of creating, sending, declaring and storing invoice receipts. This solution is adapted to the requirements set out by Chilean regulations and integrates with the company’s ERP or management system, so there is no need to modify internal working procedures. As a result, taxpayers enhance security, are more efficient and save on economic costs arising from the use of paper.