Many companies are currently facing the new challenge of converting their processes, which were previously based on paper or PDF invoices, to electronic invoicing. The pressure to switch to a solution for processing electronic invoices comes from customers, suppliers and legal requirements. At the same time, the switch to digital invoicing processes offers a great potential for automation, which leads to time and cost savings. Fink IT Solutions accompanies and supports you on this path and has the right solutions for your problems.
What ist eInvoice?
eInvoice is the general term for the creation of electronic invoices in companies or public authorities, both for incoming and outgoing invoices. Instead of being sent on paper, invoices are sent digitally as an electronic document (e.g. XML), ideally in a standardized format. According to the German Value Added Tax Act (UStG), an eInvoice must have been originally created and sent electronically. This means that invoices that have been scanned and then processed electronically are not eInvoices, but are still paper invoices.
According to EU Directive 2014/55/EU, an eInvoice must be issued, transmitted and received in a structured electronic format. In addition, the format must enable automatic and electronic processing of the invoice.
Since November 27, 2020 at the latest, the legislator in Germany has required invoices to be sent to public-sector customers at the federal level in the eInvoice format XRechnung. In the meantime, this regulation has been extended to the state level.
However, eInvoice is no longer a national issue. The EU directive also applies in the other EU states, although here it is pronounced with different XML formats such as the Italian FatturaPA. Worldwide, there are also a wide variety of other standards that must be observed for billing in the respective country. For internationally active companies in particular, this makes it increasingly difficult to meet compliance requirements. Not only do the eInvoice formats differ internationally, but so do the mandatory details on invoices and the requirements for data delivery. In some cases, for example, the use of portals or the involvement of tax authorities is legally required. In addition, a distinction is made between public billers and recipients and private companies. Even within a single country, there are different constellations that need to be taken into account and mapped in the ERP system.
Creating opportunities from challenges
Due to the described multitude of challenges in international business transactions, companies often lack the necessary knowledge and entry point to serve their international customers and suppliers in a legally compliant and at the same time digital way. This problem is addressed by SAP Document and Reporting Compliance (DRC), which covers global legal requirements. Whether using SAP ECC or SAP S/4HANA, SAP DRC helps you meet global legal requirements for electronic invoices and other business documents. Within SAP ECC or SAP S/4HANA, the solution is based on the eDocument framework for creating and processing electronic documents. In addition to the Legal Requirements, the SAP solution brings out the other benefits of eInvoicing:
- Fully integrated end-to-end processes
- Cost and time savings through automation of processes and their follow-up activities
- Sustainability through less resource consumption
- Improved liquidity and higher cash discounts through shorter lead times
- Higher data quality: avoidance of media discontinuities and associated input errors
- Increased transparency: Document Cockpit for monitoring all invoices centrally in SAP
The SAP Document and Reporting Compliance solution can be used to generate and send a wide variety of eInvoice formats from SAP SD, FI, I-SU. Access points such as the PEPPOL network are also available. For more details, please visit our product page for SAP Document and Reporting Compliance.
- Analysis and conception of eInvoice processing
- Adapters for various formats of eInvoices
- Implementation of SAP Document and Reporting Compliance