Electronic invoice challenge for companies; How is it going?

The electronic billing It arrived to simplify accounting and financial processes and promote electronic commerce, but the transition from paper to digital remains a challenge for businesses in Panama.

The implementation of new technologies is one of the major constraints facing companies in Panama, and the lack of technological resources and processes is a major challenge, especially for micro, small and medium enterprises in Panama, reveals a report from Observatory Ibero-American of MiPyME.

The traditional method of billing, which involved filling out paper forms and sending physical bills, has evolved thanks to technological advancements in the country.

Panama is conducting a training process to implement electronic invoices, a tool that greatly helps to better control and manage purchases and payments, said Publio De Gracia, Director General General Administration of Revenue (DGI).

At the end of 2023, the DGI recorded 60 thousand taxpayers who were already users of the electronic account, which represented 28% of the active users of the report.

Guilds like Association of Restaurants and Related Restaurants of Panama and medical unions They are voluntarily advancing the adoption of electronic invoicing, in addition DGI has approaches with other sectors such as Merca Panamá to promote billing compliance in their positions.

The process has a free invoicing method with 500 monthly invoices, with the certification of more than 20 authorized suppliers. “2024 will be the year of electronic invoices”, De Gracia indicated.

DGI hopes to implement 100% electronic invoicing in the short term, targeting cases of non-compliance and possible tax evasion. Previously, 65 percent of tax obligations were fulfilled, and now this has increased to 92 percent through electronic invoicing, the entity points out.

With the acquisition of technological tools and international cooperation, tax evasion was reduced between 7 and 8 percent, he added.

DGI strives to balance the digital economy in the country, while paying taxes Transfer of personal property and services (ITBMS) to products or services that are currently not taxed.

According to the observation and analysis of other countries that already have this balance in the digital economy, the charge can increase between B/. 80 and B/.100 million, said De Gracia.

“As a result, electronic invoicing has simplified accounting, financial processes and even integration with other areas. This change has significantly reduced waiting times and improved overall efficiency,” he emphasizes. GuruSoft CEOone of more than 20 authorized providers of this service.

“Electronic billing is a modality that speeds up the billing process and improves it, so that it positively affects the user experience. And a customer who has a good experience with the company they buy from is a returning customer. And every company can benefit from this, regardless of its size,” says Rafael Montero, CEO of GuruSoft.

Amidst the advancement of new technology, there are processes at the Supreme Court of Justice (CSJ) to resolve claims against the Electronic Invoice Law, De Gracia emphasized.