Are you using NetSuite in Latin America? Do you know what Electronic Invoicing is?
Electronic invoicing actually should technically be called ‘Electronic documents’. This refers to the legal requirement when issuing invoices, debit memos, credit memos, withholding tax certificates, all usually done with an XML file. An XML file is a very specific file that should be issued by every single company when tax reporting. For example, if we sell something to someone we have to issue an electronic invoice that represents that purchase via an XML file.
Every invoice you create in Latin American is mandatory, they need to have a legal XML file that represents the information from that invoice. That file goes to the local tax authority, they approve that so they’re in full control of every transaction that’s being made. That’s the reason why are there so many tax laws and why the whole region is adopting this methodology with different but at the same time similar tax laws.
LatamReady knows this and also knows that many international companies with subsidiaries in Latin America are struggling with that in particular. Lucky for them we have an incredible tool within NetSuite to solve all the tax difficulties within the region. For example, LatamReady has the solution for legal accounting books, withholding taxes, electronic payments and much more for all Latin American countries and their different legal requirements.
Let’s see what is happening in Brazil
Imagine you have a company in Brazil and you’re distributing a product there. If the authorities ask you what you’re carrying, you have to present a PDF file, which is the representation of the XML file. The authorities will scan that and verify all your information online. So, in other words, governments want online control for efficiency.
By the end of the month, the governments would already know how many sales you’ve made or how much you’ve bought. When a company has electronic invoicing, they need to issue a certain amount of invoices per month, and this is where LatamReady is one step ahead of everybody else, as mentioned before we already have the solution with our SuiteApp Native within NetSuite so keep reading to know more about it.
Let’s dive a little more…If a customer issues electronic invoices there are different options a customer can go for, to solve this issue. They can either have an automated integration from within NetSuite, or we can use a middle man local company to connect them to the tax authority. That means that once you create an invoice within NetSuite, there’s a simple button to press and you’ll have an integration with the tax authority to generate an XML file and have that XML file validated, this is how LatamReady works! Which is the most beautiful and optimized solution we have?
However, if a client has a very low volume of transactions every month it’s always possible to submit their invoices one at a time…however, as soon as the company starts issuing fifty or a hundred invoices a month it’s very important to have that automatization. Otherwise, that would be a huge amount of manual work to do that separately from outside of the system.
Grow beyong using LatamReady SuiteApp.
As you may know, the LatamReady SuiteApp is an excellent Tax Compliance solution inside the LatAm region within Oracle NetSuite. LatamReady works tirelessly every day to provide the best experience with the ultimate solution to all international corporations’ tax compliance problems. E-invoicing, E-payments, Legal Ledgers, and many other issues can be dealt with via LatamReady.
Be aware of the changes that are happening regarding tax compliance not only in Brazil but also Argentina, Mexico, Colombia, and 18+ other countries in the Latin American space please check www.latamready.com or feel free to call one of our sales reps at +1-786-600-2641.
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