Large firms in Chile must issue electronic invoices by November
Within two months, large companies in Chile must start issuing their invoicing electronically. This ruling is compulsory, as set forth in Law 20.727, which sets November 1 as the deadline date for implementation of the Electronic Tax Document (DTE) in those companies with annual revenue of over 100,000 UF. According to calculations by the Internal Revenue Service (IRS), approximately 7500 taxpayers will soon be taking this step towards technological modernization.
However, the big hitters will not be the only companies signing up to the new electronic system. The law passed by the Chilean government last January determines a schedule of deadlines, due to finalize in February 2017 and which includes both SMEs and micro businesses. So, within 3 years some 500,000 taxpayers will have joined the DTE regime.
The periods allowed for incorporation to the electronic billing system vary depending on the income obtained by the companies and their location. The next group to sign up to the DTE will consist of SMEs with a turnover of more than de 2400 UF and located in urban areas. For these businesses, the deadline date is 1 August 2015. Companies with the same level of income, but located in rural areas,will be allowed another 6 month period, until 1 February 2016. By this same date, urban businesses with a turnover of less than 2400 UF will also be obliged to join the electronic billing system. Finally, on 1 February 2017 it will be the turn of micro-businesses located in rural areas.
With this forecast, Chile will have completed the rollout of mandatory electronic invoicing in scarcely 3 years. This measure, now increasingly widespread in countries around the world, will improve procedures, cut down on errors, reduced tax fraud and, most of all, boost savings.
How to issue DTE?
To issue DTE it is advisable to have an e-billing platform like EDICOM’s, which is responsible for generating, sending, receiving and storing the documents practically automatically. This solution is adapted to the requirements laid down in Chilean legislation and has an electronic communications service with the IRS for online declaration of invoices for tax purposes.