E-FATURA NEDİR? NASIL KESİLİR?

WHAT IS AN E-INVOICE? HOW IS IT ISSUED?

What is E-Invoice?

E-Invoice, which is an abbreviation for electronic invoice, is the term used for invoices prepared in a digital environment. These invoices, which have the same characteristics as traditional invoices, have official validity. The electronic invoice system was put into effect by the Revenue Administration. The data format and standard are determined by the same government agency and are included in the information that must be included in invoices according to the Tax Procedure Law.

The e-invoice system was put into effect in our country on 05.03.2010 with the Tax Procedure Law Communiqué numbered 397. It has the same legal validity as traditional paper invoices. The invoice sending process between the buyer and the seller must be carried out electronically.

E-Invoice can only be used when both parties are electronic invoice users. It is transmitted to the parties through a central system, namely the servers of the Revenue Administration (GİB).

How to Issue an E-Invoice?

After the necessary applications are made and you are identified as a user by the system, you can issue your e-invoice using three different methods.

1. Revenue Administration Portal (GİB)

It is possible to issue e-invoices via GİB Portal. If your invoice volume is not high and you can spare time for each invoice, GİB Portal is sufficient for your needs. However, invoices issued via this system are removed from the system from the 6-month period. For this reason, you need to back up your invoices yourself.

2. Integration Method

If you can produce applications within your own organization, you can integrate GİB and your business's information system. In this way, e-invoices you prepare in your own system are automatically transferred to the GİB system. Of course, you need an in-house software and IT team to implement this method and make it work without errors.

3. Third Party Integrator

Thanks to third party integrator companies authorized by the Revenue Administration, you can perform your electronic invoice issuance transactions and integrate your own information system with the help of a third party.

What are the advantages of e-invoice?

The electronic invoice system brings many advantages for companies of all sizes. Some of these advantages can be listed as follows.

• Takes Less Time

E-invoices do not need to be printed, mailed and sent to the recipient. For this reason, the preparation and delivery time to the other party is much shorter than traditional paper invoices. Business owners can focus on their own business instead of thinking about how to send the invoices.

• Reduces Your Expenses

Printing, editing and shipping traditional paper invoices are costly processes. Both employees are needed to handle this and paper and stamp costs increase for large companies. On the other hand, sending the invoices to the recipients is a separate expense item in itself. For this reason, switching to the e-invoice system reduces costs.

• Enables You to Receive Your Payments Earlier

As we explained, e-invoice transactions take much less time compared to paper invoices. For this reason, they reach the recipient faster and lead to earlier payment notification. Since the notification is made earlier, you can also receive your payment faster. You do not have to wait for the documents to reach the recipient by mail as in traditional invoices.

• Probability of Error Decreases

E-invoices are prepared entirely from electronic platforms without the need for printing. For this reason, the probability of making errors in the preparation, printing, transportation and approval processes is less compared to traditional invoices.

• Easy to Archive

In order to archive traditional invoices, physical space must be allocated, filed and these files must be kept safe. In order to access these archived invoices, you must search for the stored invoice among others each time.

On the other hand, invoices stored with the e-archive invoice method do not take up physical space and are stored on servers. It is much easier to access and find the right invoice in the digital system.

• It is Nature Friendly

Electronic invoices do not require paper to be prepared. Moreover, there is no need to use a vehicle to transport these invoices. In short, there is no need to cut down trees for paper and no fossil fuels are needed for its transportation. For this reason, e-invoices cause much less harm to nature.

Who Should Use E-Invoice?

People who are obliged to issue electronic invoices are e-invoice taxpayers. The Transition Schedule Table for Applications Within the Scope of VUK GT published by the Revenue Administration indicates who should switch to the electronic invoice system and by what date.

At the same time, in accordance with the current laws, before the notification made in November 2020, companies with gross sales revenues of 5 million TL and above in 2020 were considered electronic invoice taxpayers.

However, with the regulation made by the Revenue Administration, it was stated that businesses with a turnover of 4 million TL and above in 2021 must switch to e-invoice and e-archive invoice systems by July 01, 2022.

In addition, companies with a turnover of 4 million TL in 2021 and above and switching to the e-invoice system on July 1, 2022 must switch to the e-ledger application by January 1, 2023.

Conditions for Being an E-Invoice Taxpayer by Sector

The figures for e-invoice taxpayers in the e-commerce sector are different from other sectors. In line with the latest circular published by the Revenue Administration, businesses operating in the e-commerce sector are required to switch to the e-invoice system after reaching a sales revenue of 1 million TL in the 2020 and 2021 period and 500 thousand TL and above in the 2022 period.

At the same time, companies importing, manufacturing and constructing goods in Lists I and III annexed to the Special Consumption Tax Law No. 4760 dated 06.06.2002 are required to use e-invoices without any turnover limit. This category also includes companies that manufacture tobacco products and alcoholic beverages.

What to Consider When Creating an E-Invoice?

The points to be considered for the electronic invoice application to be carried out smoothly among taxpayers have been determined. In summary, the things to consider when preparing an e-invoice are as follows:

1. Reciprocal Issuance of E-Invoices

Taxpayers registered in the e-invoice system are required to use electronic invoices in their transactions between themselves. If only a paper invoice is issued, it will be seen as if no invoice has been issued in the system. For this reason, two taxpayers registered in the system must definitely use electronic invoices when they exchange goods or services between themselves.

2. Storage and Presentation

The issued electronic invoices must be kept for the legal period in accordance with the Tax Procedure Law No. 213 and the Turkish Commercial Code No. 6102. In addition, the invoices must be presented upon request.

Since the seals of the invoices in question can only be verified electronically, it is not acceptable to store electronic invoices by printing them on paper. In other words, invoices must be stored in electronic, magnetic and optical media.

3. Change of Title

If you are registered in the e-invoice system, in case of any change of title, you must apply for a change of title within 15 days and report this. This notification must be made to the Revenue Department by mail with a photocopy of the Trade Registry Gazette containing the change of title and a petition.

4. Archiving

The Revenue Administration does not provide any invoice storage service. For this reason, electronic invoices received must be archived in the taxpayers' own information processing systems or archived within the body of authorized institutions.

What are the differences between E-Invoice and E-Archive Invoice?

Although the concepts of e-archive invoice and e-invoice seem to be the same, there are actually many differences between them. Under this heading, we will examine the differences between these two systems.

• E-invoices are only available in the electronic system and are invalid when printed on paper. E-archive invoices can be printed as electronic documents.
• Electronic invoices are created with a financial seal and do not have a time stamp. E-archive invoices must be approved with both a financial seal and a time stamp.
• While the Revenue Administration is the intermediary in the preparation and delivery of e-invoices, it is the institution that receives reports for e-archive invoices.
• E-archive invoices can be sent to customers who are not e-invoice users. E-invoices can only be sent to customers who are in the system.

To summarize;

• E-invoice is a digital invoice system put into effect by the Revenue Administration, which has the same legal validity as traditional invoices.
• E-invoices can be issued through the GIB Portal, integration method or third-party integrators.
• The e-invoice system saves time and costs, reduces the error rate and is environmentally friendly.

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Mesut SENEL | Ifasturk CEO

Certified Public Accountant