As of 1 April 2021, all invoices including those issued to private individuals will be seen by the tax office; the three-month sanction-free period to ensure a smooth transition will end on March 31, Norbert Izer, State Secretary for Taxation at the Finance Ministry informed MTI.
The sanction-free period has proved effective; about 98 percent of businesses have already switched to the new system, with which invoices issued to private individuals can also be reported, the state secretary said.
Tax office data revealed that at the beginning of March, out of 871,000 businesses only 20,000 reported invoice data through the old system, which will stop operating in two weeks.The 20,000 companies that have not yet switched to the new system will be given all the necessary help
- Norbert Izer said.
Every company concerned will receive an electronic letter from the tax office in the next few days with a reminder about the end of the sanction-free period. Until March 31, all businesses will have enough time to start using the new system, and the adaptation process will be supported by the unique services of the National Tax and Customs Administration (NAV), the state secretary explained.
With the tax office’s own invoicing program, businesses can easily and automatically fulfill the online invoice data reporting obligation. The program called Online Invoicing is free of charge, safe, fast and also popular; it has already been used to create five million invoices.
There is another innovation by the tax office helping businesses with the transition: the mobile app of Online Invoicing, available since June 2020, which is freely downloadable from the Apple Store and also the Google Play store. The application has become very successful as it has been downloaded more than 34,000 times up till now, the state secretary revealed.
Norbert Izer also explained that the 2.0 XSD schema can be used during the sanction-free period until March 31, but from April 1only the updated 3.0 version can be applied, which supports the fight against the underground economy, the preparation of draft VAT returns, as well as data protection and paperless invoicing.
The transition to the new 3.0 XSD system is also important from a data protection point of view, as this specification can ensure the anonymity of personal data.
Buyer data are essential for the analysis of the sales side, but the personal data of private customers are treated anonymously, so they will not be seen by the tax office either
- the state secretary concluded.