July TaxTech Updates

July TaxTech Updates

In the past month, there have been significant developments in the realm of tax compliance. Below, you'll find a compilation of articles and news featured on the SNI Blog throughout July.

Malaysian e-invoicing Updates

The Inland Revenue Board of Malaysia (LHDN) will launch its mandatory e-invoicing model, MyInvois, starting August 2024. This system requires sales invoices to be sent to tax authorities for verification via API before being sent to customers. The rollout schedule is:

●????? August 1, 2024: Taxpayers with annual turnover above MYR 100 million (approx. $21 million)

●????? January 1, 2025: Taxpayers with annual turnover between MYR 25 million ($5 million) and MYR 100 million

●????? July 1, 2025: All other taxpayers

A six-month grace period is provided for compliance, during which businesses must report transactions with a single consolidated monthly e-invoice. Penalties apply for late submissions, but no prosecutions will occur if rules are followed. Updated guidelines allow issuing consolidated e-invoices and self-billed e-invoices, avoiding the need for individual invoices even if requested by buyers or suppliers. This aims to ensure smooth business operations during the transition. You can find the full news here.

Romanian B2C and e-Transport Regulations

The Ministry of Finance will require electronic invoicing for all business-to-consumer (B2C) transactions from January 1, 2025, to prevent tax evasion and streamline financial reporting. Starting July 1, 2024, businesses can adopt the national RO e-invoice system, already used for business-to-business (B2B) transactions, with mandatory compliance from January 1, 2025.

Certain entities, such as diplomatic missions and specific international bodies, are exempt unless they opt-in, and associations, foundations, and individual farmers are temporarily exempt until June 30, 2025. Enforcement bodies must use the system, and fiscal marking machines will include QR codes for easier verification.

Penalties for non-compliance with e-Transport, e-VAT, and e-invoice regulations are postponed until January 1, 2025. The National Union of Road Transporters from Romania (UNTRR) requested this delay due to the lack of necessary IT modules for tracking transport vehicles. You can find the full news here.

Lithuanian SABIS Platform and B2G e-invoicing

Starting July 1, 2024, Lithuania will transition its business-to-government (B2G) e-invoicing to the General Account Administration Information System (SABIS), replacing E. s?skaita. Full operation begins on September 1, 2024.

●????? July 1 to August 31: Institutions connect to SABIS and manage accounts. Suppliers submit invoices; buyers may use both systems.

●????? September 1: E. s?skaita will be unavailable from August 30.

Invoices over EUR 1,000 without VAT must be submitted through SABIS, with all such invoices required from January 1, 2025. Training materials will be available from July 1. This transition aims to enhance compliance and efficiency. Businesses should prepare and leverage the Peppol network.? You can find the full news here.

French National Authority for PEPPOL Invoicing

France is expected to become the national authority responsible for promoting and supporting Peppol standards and network, collaborating with OpenPeppol. This step is in preparation for France's 2026 B2B e-invoicing mandate.

Peppol is a trusted network for sending standardized e-invoices and electronic business documents. Users send documents through Peppol Access Points, either set up by businesses or provided by specialist agents.

National Peppol Authorities, often national tax authorities or other non-commercial organizations, ensure technical standards and service specifications in their countries. Peppol, initially an EU initiative, has expanded to 40 countries, and since 2020, all EU public sector institutions must receive Peppol standard invoices. You can find the full news here.

ZATCA’s Announcement on the 13th and 14th Groups for e-invoicing

The Zakat, Tax, and Customs Authority (ZATCA) will notify the thirteenth group (businesses with VAT revenues over 7 million riyals) to integrate with the Fatura system starting January 1, 2025, and the fourteenth group from February 1, 2025. This second phase introduces stricter requirements, including specific invoice formats and additional elements. Implementation will be gradual, with notifications sent at least six months in advance.

This phase continues Saudi Arabia's digital transformation, following the successful initial phase which replaced handwritten and spreadsheet invoices with a standardized electronic system. You can find the full news here.

Delay in JPK_VAT Implementation in Poland

The Minister of Finance has delayed the mandatory KSeF system to February 1, 2026, for large businesses and April 1, 2026, for others.

Until July 31, 2026, taxpayers don't need to include KSeF invoice numbers in sales records, and simplified invoice data in JPK_VAT is postponed.

Consultations on July 18, 2024, discussed easing KSeF requirements, including allowing offline invoicing and issuing invoices up to PLN 450 outside KSeF. The legislative process involves two phases: the initial delay and gradual implementation starting February 2026. You can find the full news here.

Slovenia’s Road to Mandatory e-invoicing

Slovenia has proposed a new Act on the Exchange of Electronic Invoices and Other Electronic Documents, set to enforce mandatory Continuous Transaction Controls (CTC) for B2B e-invoicing starting June 1, 2026. The proposal excludes B2C transactions, allowing consumers to choose between electronic and paper invoices.

All e-invoices must be reported to the Slovenian tax authority (FURS) within 8 days of issuance and receipt using the e-SLOG standard, developed by the Chamber of Commerce of Slovenia. Cross-border B2B transactions are also covered under the CTC regime, requiring reporting to FURS in the e-SLOG format. e-invoices can be exchanged in e-SLOG, European standard formats, or other internationally recognized standards if agreed upon. The draft proposal is available for public review and feedback. You can find the full news here.