Tax Agency: New VAT management system based on Immediate Supply of Information
This is a VAT management system based on the Immediate Supply of Information ( SII ).
- Taxpayers obliged to the SII (and those who voluntarily decide to use it) must send the details of the billing records within a period of four days through the Electronic Headquarters of the Tax Agency.
- They are not required to present forms 347 (operations with third parties), 340 (registration books) and 390 (annual VAT summary).
- Taxpayers can compare the information in their Registry Books with the information provided by their clients and suppliers as long as they are also included in the system.
This Value Added Tax management system is based on the maintenance of Tax Record Books through the electronic headquarters of the AEAT through the quasi-immediate provision of billing records .
The “Immediate Supply of Information” (SII) represents a substantial improvement in the communication relationship between the Administration and the taxpayer, since it allows for a bidirectional, automated and instantaneous relationship. At the same time, it is configured as a tool, both for taxpayer assistance and for improvement and efficiency in tax control. For example, it allows the Pre303/LLAA service to be provided to certain taxpayers, for the automatic preparation of VAT self-assessment.
The SII basically consists of electronically transmitting billing records from VAT Books. To do this, the taxpayer must send the Tax Agency billing details electronically (using web services based on exchanging XML messages or, if applicable, by filling out the online form) and using this information the different Record Books will be configured, practically in real time. But taxpayers are not required to send the actual bills.
In the case of simplified invoices , issued or received, they can be grouped, as long as they meet certain requirements, and the billing records of the corresponding summary entry can be sent.
The collective compulsorily included in the “SII” is made up of all those taxpayers whose obligation to self-assess the Value Added Tax is monthly:
- Large Businesses (turnover of over 6 million euros)
- VAT Groups
- Registered with REDEME (Monthly VAT Return Registry)
This group has developed software systems that they are able to adapt to comply with the sending of billing records within a period of four days (excluding Saturdays, Sundays and national holidays).
Additionally, any other taxable person who wishes may opt for its application. Exercising this option allows the quarterly settlement period to be maintained. You must remain in the system at least during the calendar year for which the option is exercised. The option to adopt SII must be undertaken during the month of November, before the start of the calendar year in which it should come into effect.
Advantages of the system
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Quality information is available in a short enough time interval to streamline the VAT management system.
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Obtaining “Tax Data”, since the taxpayer has at the AEAT electronic headquarters a “declared” Registry Book and another “verified” one with contrasting information from third parties that belong to the group of this system or the database. of AEAT data.
Taxpayers can verify this information before the deadline for submitting their VAT return.
The taxpayer will be able to correct any error committed in filed returns without needing to be required to do so by the Tax Agency.
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Reduction of information requirements by the AEAT, since many of the requirements are intended to request the Record Books, invoices or data contained therein to verify certain operations.
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It modernises and standardises the method of keeping traditional VAT Record Books.
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Reduction of formal obligations, removing the obligation to file forms 347, 340 and 390.
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Reduction in terms for filing VAT returns, since the Tax Agency has the information on transactions in almost real time and in greater detail.