Thursday, 11 March 2021

Timeline for all companies to join e-invoicing system announced

EXCLUSIVE- FinMin releases timeline for nationwide rollout of B2B e-invoicing system: The Finance Ministry is planning to gradually rollout the e-invoicing system for all B2B transactions across various governorates after all large taxpayers join the system on 1 July 2021, Mohsen El Gayar, director of taxpayer services at the Tax Authority, tells us.

Companies in Cairo, Alexandria and governorates west of the Nile Delta will need to log all of their business-to-business invoices in the system before the end of this year. Firms in the Suez Canal cities and in governorates east of the Nile Delta will be brought into the fold by 1H2022. Upper Egypt-based companies will join the system by the end of 2022, he added. The Finance Ministry hopes to see all companies issuing B2B and B2C invoices using the system by April 2023.

Wait, does that mean I don’t have to join in July? If you’re counted as a large taxpayer, then you must have signed up by 1 July 2021. The longer rollout period ending in 2023 is only for companies not on the roll of large taxpayers. Large taxpayers (which number at around 2.8k companies) who don’t join the system will face penalties that include inclusion in the Tax Authority’s black list and being denied basic government services.

What is this e-invoicing system, you ask? We have a primer on the system, its purpose, the timeline of implementation along with a list of phase one companies here.

CATCH UP QUICK-

  • The Egyptian Credit Bureau (iScore) is launching an electronic system that would update banks on whether someone is deceased, iScore Chairman Mohamed Kafafi told Al Mal. The system, which is currently in the trial phase, will launch at the end of June, he adds.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2021 Enterprise Ventures LLC.