Most countries that impose an eInvoicing mandate require taxpayers to report not only issued invoices, but also eInvoices received from their suppliers. With Colombia’s eInvoicing requirement reaching all taxpayers by January 1, 2019, and many prior to that date, companies operating in Colombia are asking whether the country is following this same pattern.
Inbound eInvoicing: What’s required in Colombia?
When the Colombian tax administration (the DIAN) issued the resolution 000072 that mandates a selective number of taxpayers to issue and report electronic invoices last December, and now with the new resolution 000010 published this month mandating the large taxpayers, one issue generating a lot of confusion among taxpayers is whether inbound eInvoices should be reported to the DIAN by the purchaser.
The short is answer is no; Colombia does not currently require the same inbound eInvoice reporting or inbound eInvoice validation that many other countries, including Mexico, Brazil Chile, Costa Rica and Uruguay mandate. While this process supplies important data necessary for cross-checking the compliance of both parties involved in selling and purchasing goods and services, such inbound invoices are not required to be reported to the DIAN for fiscal validation – yet.
The longer answer is more complex. Businesses that are invoicing electronically in Colombia are required to issue an electronic acknowledgment of reception of the invoice to their suppliers, called the “Acuse de Recibo.” However, unlike most other countries’ inbound processes, the DIAN has not predefined a format for “Acuse de Recibo.” Taxpayers can use any electronic format agreed upon between buyer and supplier to communicate the acknowledgement to their business partners.
Outbound eInvoicing in Colombia
All taxpayers in Colombia will be required to comply with Colombia’s eInvoicing mandate by January 2019, although large taxpayers must comply prior to that date.
- June 29, 2018 – Companies who requested numbering ranges (Folios) for eInvoicing during the last five years and invoice less than 3M invoices per month.
- September 1, 2019 – Large taxpayers defined by the DIAN in resolution 076
- September 29, 2018 – Companies who requested numbering ranges (Folios) for eInvoicing during the last five years and generate more than 3M invoices per month.
The current requirement includes invoices, credit notes and debit notes, and each must pass through XML testing and production prior to going live, meaning companies need to prepare well in advance.
We are still in the early stages of eInvoicing in Colombia. Based on the precedents set in markets like Mexico, Brazil and Chile, Colombia will soon mandate that all inbound invoices be validated. Acuse de Recibo is likely to prove just the beginning.