Having Trouble on Receiving Inbound e-Invoices in Italy? We can help you!

The clearance model of the e-Invoicing system called “FatturaPA” is an electronic invoice (structured XML) and is the only type of invoice that is in use within B2G, B2B, and B2C transactions. The use of FatturaPA has been mandatory for B2B and B2C levels since 01.01.2019.

As we know, transmissions of the e-Invoices are made electronically via SDI as the issuer sends the e-Invoice to SDI to transmit the e-Invoices to the recipient after the validation process.

Today we’re talking about the emerging issues on receiving some inbound e-Invoices as some of our customers are having difficulties in reaching their e-Invoices on the ERP.

Infocert provided some clarifications as regards to the deduction of VAT for e-Invoices received which are not present in LegalInvoice but were collected in the Cassetto Fiscale. The main reason behind is the current operating logic of the SDI, which is also known as the Interchange System.

Let’s find out the 6 possible reasons behind this situation and hopefully make this condition clear for our customers.

CASE #1 / Invoice with no VAT Number & Correct Tax Code

Supplier may not have evaluated the VAT number within the Invoice XML file.

The XML invoice occurs inside the Cassetto Fiscale as SOGEI-Agenzia delle Entrate deposits it according to the tax code itself.

• The consequence of this scenario;

From a fiscal perspective, this document is not formally correct because it cannot reach the mandatory requirement. In this case, suppliers should issue an appropriate invoice for sure.

After the request of reissuing the correct form of an invoice, it is better to emphasize the supplier as it is essential to include the correct VAT number.

How Foriba Solves This Issue?

To prevent this error, we check if the counterpart is a company which requires a VAT number or a person which requires TAX code. If we face the field is left blank, we have a warning message, before it is sent to SDI so that there is no chance of failure.

CASE #2 / Invoice with Customer’s Ceased VAT Number & Correct Tax Code

Supplier may have added a VAT number, which is currently ceased but attributable to your company. For example, the supplier may have included the companies VAT number which is previously incorporated by your entity.

• The consequence of this scenario;

From the fiscal perspective, this document is not formally correct as it cannot reach the mandatory requirement. That is why there is a need for a request of reissuing the proper form of an invoice with the correct VAT number as in case #1.

How Foriba Solves This Issue?

We have a data quality tool, which is integrated into the Foriba FatturaPA Cockpit and also can run standalone. This tool validates the tax code of the customer before the invoice is sent to SDI.

CASE #3 / Invoice with Correct VAT Number & Tax Code but having Inappropriate Format

Supplier may have evaluated the transmission format field incorrectly with the value “FPR12”. However, the correct format used for B2G assignments is “FPA12”.

• The consequence of this scenario,

SDI cannot deliver the XML invoice to the intermediary because of the used dummy IPA code, hence, not the correct recipient code. From the fiscal perspective, this document is not formally correct based on the technical specifications. Therefore there has to be a request for a new invoice by evaluating the “transmission format” field with “FPA12” format.

How Foriba Solves This Issue?

We have a data quality tool, which is integrated into the Foriba FatturaPA Cockpit and also can run standalone. This tool validates the tax code of the customer before the invoice is sent to SDI.

CASE #4 / Invoice with Recipient Code “XXXXXXX.”

Supplier may have valued the dummy code “XXXXXXX” used for cross-border flows within the Recipient Code.

• The consequence of this scenario;

SDI cannot deliver the XML invoice to the intermediary because the supplier has used the recipient code “XXXXXXX” which disallows the delivery of the invoice file to the receiving subject. The main reason for this state is,

The code “XXXXXXX” should be used exclusively for invoices addressed to non-resident subjects and without VAT number Italian.

Thus, there must be a request for a new correct invoice to the supplier. It is better to emphasize the supplier that the correct inclusion of your VAT number within the block 1.4.1.1 < IdFiscaleIVA> and, possibly, of your recipient code.

How Foriba Solves This Issue?

We are validating the invoices and warning the end user if we face an invoice with recipient code (i.e., codice destinatario) XXXXXXX or any other constricted recipient codes.

CASE #5 / Invoice with Valid VAT Number Country Code of the Different Client From “It.”

Supplier may have valued within the XML file a value different from “IT” within the country code of the client from it.

• The consequence of this scenario;

SDI cannot deliver the XML invoice to the intermediary because the supplier may have valued within the XML file a value different from “IT” within the country code of the client’s tax identification number. In this case, there must be a request for the issuance of a new correct invoice to the supplier by highlighting the requirement of including the correct data in block 1.4.1.1.

How Foriba Solves This Issue?

We have a data quality tool, which is integrated into the Foriba FatturaPA Cockpit and also can run standalone.

This tool validates the tax code of the customer before the invoice is sent to SDI.

CASE #6 / Reverse Tax Code & VAT Number

Supplier may have included both the VAT number and the tax code correctly. However, it presents a reversal of the mandatory tax code and VAT number fields.

That is why the VAT number is included in the tag used to accept the Tax Code and vice versa.

Remember, this scenario occurs only if your VAT number is different from the tax code.

• The consequence of this scenario;

According to the Agenzia delle Entrate, this document is not formally correct based on the technical requirements and clarifications. This is the main reason for a need to request the supplier to re-issue the proper invoice. Besides, it is better to mention that the VAT number and tax code have been reversed.

How Foriba Solves This Issue?

We have a data quality tool, which is integrated into the Foriba FatturaPA Cockpit and also can run standalone. This tool validates the tax code of the customer before the invoice is sent to SDI.

Recap

FOR THE CASES #1,2,5,6

If the Recipient Code which is included in the XML file does not correspond to the one previously communicated to you, the invoice is not delivered to the intermediary by SDI but will be deposited exclusively within the Cassetto Fiscale.

FOR THE CASES #3,4

The invoices are not sent by SDI to the Infocert accredited provider but will be deposited exclusively within the Cassetto Fiscale.

FatturaPa Foriba Cockpit

What FatturaPA Foriba Cockpit provides,

• Connectivity with SDI
• Detailed reporting options
• Posting Availability
• Signature & Archiving

Other than these features FatturaPA Foriba Cockpit provides Add-ons such as;

• Foriba VIES Integrator Tool
• Foriba Invoice Alignment Tool
• Italy Inbound Invoice Automatic posting
• Foriba SAP Esterometro Add-on

To learn more about Foriba and FatturaPa Foriba Cockpit, please feel free to get in contact with us!