When talking about electronic invoicing in Latin America, Chile is one of the main countries to study. In 2003 the Chilean Administration rolled out the first e-Invoicing model in Latam: the Electronic Tax Document, or DTE. Ever since, this system has developed into a mandatory model that expects to apply to all companies in Chile by 2017. This ambitious bet for a paperless billing system is next on EDICOM’s “e-Invoicing in Latin America” series.
The incorporation of electronic invoicing in Chile is giving rise to many doubts and queries among entrepreneurs. These are the ten keys to understanding how it all works and how and when to use this new mandatory billing system in the country.
Taxpayers to be removed from e-Certification process in Chile if they do not use it in 6 months
This measure ensures that the user will make continued use of this new and mandatory administrative management system. Should they be expelled, they would need to go through the whole authorization process again before being able to use the e-invoicing service in Chile.
“I think the way our FE operates is the most successful among all countries sharing the model”
We interview Ricardo Pizarro, Head of Taxpayer Support and Assistance and IRS spokesperson on all electronic invoicing-related issues in Chile, to find out his take on the process and what the State's next steps to facilitate transactions among taxpayers in the B2B age will be.
96% of transactions in Chile now take place via e-invoicing
Around 70% of big businesses now comply with Law n° 20.727, which states that all large companies with annual turnover above 100,000 UF (approximately $2,340 million US dollars) may no longer issue documents on paper for tax purposes and are required to adopt the new electronic system.
The Chilean Government was the first to implement electronic invoicing in Latin America. Since 2003, thousands of taxpayers have voluntarily joined the DTE, which now represents over 50% of invoices issued.