Electronic accounting: One step closer to the “paperless society”
Electronic accounting is shaping up as the main new tax feature this year in Mexico. Thousands of taxpayers will be required to convert their charts of accounts, trial balances and details of accounts ledger journal entries generated to XML before forwarding them by electronic means to the Tax Administration Service (SAT). The measure is designed to facilitate administrative procedures, business processes and tax statements.
E-accounting is an evolutionary improvement on traditional accounting. This new system improves the way documentation is concentrated, recorded and preserved. In addition, it allows taxpayers immediate access to their accounting information, which is stored digitally. This means fewer costs in terms of infrastructure, paper and printing.
Over the past decade, Mexico has made headway towards an electronic society, leaving paper an increasingly residual use in administrative processes. This new tax feature is proof positive of the progress being made. There can be no doubt that e-accounting came about as a result of widespread use of the Digital Tax Invoice via Internet (CFDI).
How does e-accounting affect taxpayers?
It would be wrong to assume that e-accounting means major changes from the usual way of accounting in the company. The only significant difference is that under the new system the process will be quicker. And, as with electronic invoicing, Authorized Certification Providers (PACs) such as EDICOM are technological partners with the necessary expertise for businesses to delegate them the tasks of generating the XML files required by the SAT and carrying out the integration tasks with the company's internal system.
All of this is done with maximum assurances of integrity, confidentiality and security in processing the information.