One of the most anticipated legislative approvals of the year is the Regulation that will regulate the electronic invoicing system in Spain between businesses and professionals. Law 18/2022, of 28 December, on the creation and growth of businesses (“Crea y Crece Law“) incorporated this new obligation in order to fight against commercial delinquency and contribute to the digitalization of companies, but conditioned its entry into force to the enactment of its regulatory development.

Scope of application and technical requirements

Following the publication of the draft Royal Decree on 15 June, we now know the scope of application and the technical and reporting requirements. It will be applicable to domestic transactions addressed to other businesses or professionals (with exceptions). It establishes the coexistence of a public electronic invoicing solution, which will be managed by the Tax Administration, with private platforms that must ensure the interconnection between them and with the public one. It should be noted that all invoices will have to be sent to the latter, regardless of whether a private platform is also used, so it will act as a repository for them. By default, it will be assumed that the public solution is chosen to facilitate the implementation of the new system.

Finally, it should be noted this new obligation will take effect one year from the date the aforementioned Royal Decree is enacted for businesses and professionals with total annual revenues of Euros 8 million or more and two years after the date the regulations are enacted for the rest of the businesses and professionals.

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