Almost all invoices need to be reported now

English2020. júl. 21.Növekedé

July 2020 is bringing a huge change in the lives of most companies in Hungary.

Until June, only invoices including VAT over 100,000 forints had to be reported to the National Tax and Customs Administration (NAV), but from July 1 this limit has been abolished.

In addition, the scope of taxpayers required to provide data has been extended. Private entrepreneurs, “KATA” payers, foundations, companies subject to reverse charge will all be required to provide invoice data, although they might not have been familiar with this process before.

Companies using printed invoice books filled in by hand are obliged to enter the invoice data manually into the NAV Online Invoicing System within a fairly tight deadline; however, if you use an online invoicing program, the system does it for you automatically.

One precondition for this is that the user registers their own online invoice account to NAV, i.e. connects their account to the tax authority.

This process is not easy at all, although most online invoice program providers try to explain each step as thoroughly as possible, and even NAV has made a presentation video about the registration process. Accountants and business owners may still find it challenging to comply with the process. However, NAV will not impose sanctions until September 30 unless the company fails to register in the NAV Online Invoicing System. The deadline for this registration was July 1.

There are several online invoicing programs to choose from in the Hungarian market. Moreover, there is already a banking solution that is more than a simple invoicing program. The first step was taken by the OTP Bank Group in 2016 when they created their OTP eBIZ application, which is still unique in its kind in the Hungarian market as it is connected to the account management system of OTP Bank. This way, not only e-invoices can be issued from eBIZ, but also a bank transfer can be initiated to the debit of an OTP business bank account. Another unique feature of the application is that it is also capable of receiving expense invoices. Incoming invoices can even be settled in batches by bank transfer, which means that the payment of multiple invoices can be approved with one single signature.

This is a simple example:

An accountant, who has been granted access to the eBIZ account (there is no upper limit as to the number of colleagues who can be registered), enters the items into the system, and a business manager can approve these items with a single signature and can initiate the money transfer. Anyone who needs to settle a large number of invoices per month knows how much quicker the recording, authorizing and transferring of these invoices can become this way.

Thanks to the banking integration, both the bank account history and the bank account statements can be retrieved from the system, either in pdf or in excel format.

Another major advantage of this banking integration is that customer invoices issued through eBIZ and money transfers to OTP bank accounts are automatically matched by the eBIZ system, so you can easily track the payment status of invoices without having to search for transactions in excel or other records. You can immediately see which customers have already settled their invoices and which invoices are overdue. A payment reminder can be sent with just a few clicks, which also makes collection easier.

Another important aspect is the security of personal data. EBIZ puts great emphasis on this as well and it must meet strict bank security requirements, as in addition to invoicing, it is also suitable for handling certain banking transactions. In the future, almost all invoice data of all businesses will be stored in these systems, thus data security will become increasingly important.

A business that takes full advantage of the features in the eBIZ application will pass on, in a system, all updated data and documents that need to be booked to their accountant, so accountants will appreciate the great deal of flexibility this gives them in their work.

Considering these benefits, it is worth switching to online invoicing as soon as possible, also taking into account the needs of businesses and the amount of time saved.