Is Your NFS-e Flow Aligned With The New EFD-REINF Regulation?
Brazil is adopting a new obligation in the area of supervision. EFD-REINF is the monthly communication for withholding taxes for contracting services. The objective of the mandatory nature of the new EFD-REINF (Digital Tax Filings of Withholdings and Other Tax Information) document is to streamline fiscal management, simplify the sending of documents and prevent tax fraud.
Brazil is one of the most complex countries in the area of tax control. However, in terms of electronic invoicing, it is also one of the most advanced countries throughout the world. Once the door to digitalization opened, the evolution in regulations and technology became constant. Therefore, companies are faced with important issues relating mainly to interoperability with administrations and private partners. At the same time, they must also address constant updates in their management systems to make sure their processes are aligned at all times with current regulations.
In order for this monthly statement to not create a problem for those companies affected, it is vital to have an efficient electronic system for issuing and receiving NFS-e. Since the NFS-e don’t have a standardized national format, but depend on preference, companies can encounter challenges when integrating all these different pieces of information into their management systems. It is important to verify that the NFS-e project of a company is aligned with the requirements of EFD-REINF and that it achieves a structured process that facilitates monthly shipments.
The EFD-REINF: key dates
The EFD-REINF is the monthly communication of withholding taxes related to the process of contracting services. By declaring this information, the Brazilian tax authority will be able to cross the data with the information already declared to corroborate its veracity. This document will be added to the rest of the documents handled by Brazilian taxpayers as a new module in the Public Digital Writing System.
It will be mandatory in January 2018 for those companies that had a turnover of more than R $78 million for 2016 and as of July 2018 those companies that had a turnover of up to R $78 million in 2016.
The EFD-REINF will be transmitted to the SPED monthly before the 20th day of the month following the posting of the invoice. The government’s electronic headquarters will enable specific WebServices and define the structure of the XML schema required for the transmission of these files.
The EFD-REINF will contain the following information:
Declaration of income tax retained at the source (DIRF);
Guide to the FGTS Collection and Social Security Information (GFIP);
Contribution information on the Forecast about the Gross Revenue (CPRB), currently provided in the EFD-Contributions.
The reception of NFS-e is key for the correct emission of EFD-REINF
Given the characteristics of this new document, companies will have to reinforce or implement a good flow of issuance and reception of NFS-e, so that data is extracted correctly and integrated correctly into a company’s ERP systems. Having a good flow of issuance and reception of NFS-e will facilitate the extraction of information for the EFD-REINF and the automatic electronic declaration to the tax authority. Control over this process will greatly facilitate the creation of XML that should be sent to SPED.
An electronic NFS-e emission and reception system is also capable of automating the entire process of generating and sending the EFD-REINF so that this flow does not interrupt a company’s normal operation. However, you cannot always count on partners that work with an EDI solution for the issuance of these documents. The complexity of the reception of NFS-e is added to the diversity of unstructured formats being managed.
DF-e Portal: The NFS-e reception solution to automatically generate the EFD-REINF
The correct generation of the EFD-REINF is, therefore, linked to the correct reception of NFS-e, which will allow the necessary data to be extracted in a structured way.
EDICOM has designed a platform by which any company can centralize the reception of NFS-e from its partners. EDICOM’s DF-e de Portal is designed to connect with the partners in the community that cannot send documents via EDI or with those that have the least volume of document exchange. Through this portal, you can receive all the NFS-e electronically and integrate them automatically into your ERP system.
The result of getting to receive your NFS-e in electronic format is that this will allow you to correctly build the XML for EFD-REINF. In addition, EDICOM can automate the sending of this new document monthly with full guarantee of data security and integrity. For the company, there will be no change in the internal management of the documents and you will be able to keep a record of the files sent.