Oil & Gas – Brazil mandates new eInvoicing process for 2013 – More Industries to Follow

Scott Lewin
March 6, 2013

In previous articles, we discussed the concept of Eventos that the Brazil tax authority was evaluating. And as always, the first wave of inbound receiving mandates are already hitting specific industries. Currently, the concept of Eventos is mandated to be implemented for Oil and Gas companies. But those in other industries should take notice as this process will likely be rolled out across all industries. The mandatesfall into two basic industry categories:

Production Environment must be live:

  • For Fuel Distribution Companies : March 1st, 2013
  • Gas Stations and Resale companies: July 1st, 2013

The reason the government is changing and forcing this new process: The Brazilian SEFAZ wants to create controls preventingtransportation fraud as well as NF-e cancellations after the delivery of goods. Unscrupulous suppliers werecreating “ghost” transactions at end of month usingthe tax idof existing customers without their awareness. Transactionswere then canceled later without consequence to the sending party. This process was and is being utilized to ship product illegally.

What do Oil & Gas companies have to do:

  • In short: The receiver of a NF-e or CT-e, a transportation invoice, will send an Acknowledgement to the government for each document received.

Functionality that your solution needs to have in order to comply with the full Eventos process includes:

  • Inbound Nota Fiscal validation engine
    • Validate all Inbound NFe
    • Validate all Inbound CTe
  • One Monitor to watch over the entire “process orchestration”
  • Deep ERP integration to trigger and monitor the “Eventos” creation, this should not be a separate box or require management of separate middleware. This should be a direct extension of your ERP. If you have to monitor your ERP, a middleware integration to the NFe solution, a middleware connection to the SEFAZ and back; your organization is looking at a production support headache – this model of separate boxmiddlewaremonitors is the only option available in most ERP systems
  • Ability to download the XML from the SEFAZ after the Acknowledgement Eventos is sent to the government
  • Once a receiver sends the ACK (acknowledgement) to the SEFAZ, they are allowed to download the XML from the government portal. This feature of the legislation should provide great benefit for the buyer. If the company receives the DANFE (a paper representation that must accompany the truck) without the XML, a deeply integrated solution will be able to automatically download the XML from the SEFAZ. In essence, with the introduction of Eventos, the Brazilian government is becoming an eInvoicing network with two way communication between the Buyer and Suppliers.

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Author

Scott Lewin

Gain timely insight and important up to the minute information about the current legislative changes in Latin America, including Brazil Nota Fiscal, Mexico CFDI, Argentina AFIP and Chile DTE. Learn how these changes affect your operations, your finances and also your Information Technology teams.
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