Pagero, the global business network for e-invoicing and e-ordering, and its VAT compliance partner TrustWeaver have obtained a positive ruling from the Italian tax administration concerning their approach to the creation of VAT-compliant electronic invoices.
The question arose in the context of Pagero’s services for the submission of electronic invoices to the Italian public administration. The ruling has broader applicability and also confirms the company’s approach to business-to-business transactions.
Under Italian VAT law, suppliers and buyers can rely on a specific form of ‘electronic signature’ to easily demonstrate to tax auditors that their invoices are real and unchanged during the entire archiving period. When an invoice is sent electronically to the public administration, this specific form of electronic signature is mandatory. During the past years, specific business practice has evolved that allows companies to use legally recognized electronic signatures in a very easy manner. In the case of Pagero’s services, the legal requirements are met by outsourcing the specialized electronic signature creation to TrustWeaver’s cloud service. Nonetheless, a ‘circular’ issued by the Italian tax administration to clarify certain issues related to electronic invoicing in June 2014 contained a provision which could be interpreted as casting doubt over the legal recognition of this long-standing business practice to ensure VAT compliance of electronic invoices.
Pagero and TrustWeaver decided to file for a so-called ‘interpello’ to ensure that the existing market practice could continue without change. In its resulting ruling, the Italian tax administration has answered this question positively. In particular, the Italian tax administration clarified that when a ‘chain’ of service providers are part of the invoicing process, the relevant legal requirements are met if the service provider that performs the final tasks to create the VAT invoice applies its own electronic signature. This affirmation is consistent with the setup that Pagero customers in Italy and other countries benefit from for both business-to-business and business-to-government e-invoicing.
“We are very pleased that our e-invoice service has been deemed compliant by the tax administration in Italy. Due to the diligent process we go through together with our partner TrustWeaver in all countries we enter into, we confidently offer our e-invoice service in an increasing number of countries across Europe and beyond,” says Thom Birkeland, VP R&D at Pagero.
Pagero offers e-order and VAT compliant e-invoice services that help businesses streamline operations throughout the entire purchase-to-pay and order-to-pay processes. Our services are delivered in the cloud via our network Pagero Online. The services are independent of ERP system, industry and transaction volume and suit all types of businesses. Pagero has about 110 employees with headquarters in Gothenburg, Sweden. We also have local sales offices in Stockholm, Oslo, Helsinki, Brighton, Dublin and Dubai, and we support customers in more than 40 countries.
TrustWeaver provides a comprehensive Cloud-based compliance service for electronic invoicing and other legally critical documents for more than 50 countries. From a single technical interface and through our unique Compliance Map™ concept, some 60 world-leading B2B vendors in our partner network automatically provide interoperable legal certainty to trading partners that use their solutions, regardless of changes in legislation. TrustWeaver’s unique blend of legal and technical components allows modern organizations to execute their ERP, workflow, archiving and B2B consolidation strategies with guaranteed respect for the multiple national and sectoral laws governing such B2B transactions as well as their long-term retention and auditability. In business since 2001, TrustWeaver is headquartered in Stockholm, Sweden.