SII: Immediate Access to VAT Information in Spain

The Immediate Supply of Information (SII) is the system developed by the State Tax Administration Agency (AEAT) for the electronic management of VAT registration books in Spain. Implemented in 2017, this system requires companies to send the details of invoices issued and received within a maximum period of 4 calendar days.

What is the Immediate Supply of Information (SII)?

The Immediate Supply of Information is the VAT management system promoted by the Tax Agency that allows for the electronic processing of Value Added Tax record books. Companies obligated to use this system must telematically submit their records of issued and received invoices, along with other relevant transactions, to the AEAT. This aims to simplify tax compliance, improve tax control, and expedite VAT refunds.

Who is affected by the SII?

The SII is mandatory for companies that settle VAT on a monthly basis, which includes the following groups:

• Large companies with a turnover of more than 6 million euros.
• Companies registered in VAT groups.
• Companies registered in the VAT Monthly Refund System (REDEME).
• Companies that voluntarily adopt this system.

How does electronic VAT management work?

Before the SII, companies filed annual or quarterly summaries of their operations using forms 347, 340, or 390. With the SII, companies can now instantly submit their invoicing records and declarations of other operations online at the AEAT's electronic headquarters.

The operations subject to this remittance are as follows:

• Invoices issued
• Invoices received
• Investment goods
• Intra-community operations

The transmission of this information is done through a file in XML format, generated from the data in the company's management system. This file includes the invoice data, and its structure must comply with the technical specifications established by the AEAT. After sending the file, the AEAT validates the data and returns a response indicating the status of the record, allowing companies to quickly correct any errors.

Deadlines for Submitting Information to the AEAT

The SII establishes specific deadlines for submitting data to the AEAT, which vary according to the type of transaction:

• Invoices issued: Companies have a period of 4 calendar days from the date of issue to forward the data to the AEAT. If the invoices are issued by the recipient or an authorized third party, the deadline is extended to 8 calendar days.
• Invoices received: The deadline for sending the data is 4 days from the accounting registration of the invoice and must always be before the 16th day of the month following the settlement period.
• Intra-community transactions: The information must be sent within 4 calendar days from the dispatch or receipt of the goods.
• Investment goods: Companies have until the last settlement period of the calendar year to send the information, with a deadline of January 30 of the following year.

Connectivity with the SII AEAT System

The SII system is designed to operate in an automated manner, facilitating the exchange of information between companies and the AEAT. Companies can connect to the SII through two methods:

• Web Service: This option is ideal for companies with a high volume of transactions, as it allows for the complete automation of sending VAT registration books from the company's management system. This reduces the risk of human error and optimizes the reporting process.
• Web Portal: For companies with fewer operations, the web portal allows information to be entered manually and sent to the AEAT. This option is more limited and suitable for companies with a low volume of transactions.

Advantages of the Immediate Supply of Information (SII)

The SII offers several advantages for both companies and the Tax Agency:

• Automation: The use of electronic data interchange technologies allows for more efficient VAT management, reducing manual intervention and minimizing errors.
• More Efficient Tax Control: The AEAT has invoicing data in real-time, facilitating the control of operations and reducing the need for additional requirements.
• Correction of Errors: Taxpayers can correct errors detected in remittances without waiting for a request from the AEAT, which improves transparency and reduces penalties.
• Reduction of Formal Obligations: By adopting the SII, the obligations to file forms 347, 340, and 390 are eliminated, simplifying tax management.
• Faster Refunds: With detailed and updated information, the AEAT can expedite VAT refund processes, reducing waiting times for companies.

Relationship between the SII and Electronic Invoicing in Spain

The SII and electronic invoicing are complementary systems with distinct objectives. While the SII focuses on tax control and transparency in VAT management, electronic invoicing, promoted by the “Crea y Crece” Law, aims to reduce late payments in B2B transactions, regulate payments between companies, and promote the digitalization of business processes.

While both systems function independently, they share key characteristics, including the use of unique identifiers for invoices and the transmission of data in electronic formats. Companies required to comply with the SII must also adapt to electronic invoicing, which poses a technological challenge that requires proper integration of both systems to prevent duplication or operational issues.

EDICOM, SII Solution

EDICOM offers a comprehensive solution for SII management, automating the process of issuing and sending VAT registration books to the AEAT. Through this solution, companies can generate XML files, send them securely, and receive the corresponding notifications.

Additionally, EDICOM acts as a “Trusted Third Party” in accordance with European Regulation 910/2014, providing secure, long-term storage for VAT books and status messages issued by the AEAT. This ensures that companies comply with current regulations and have the necessary information in case of audits or litigation.

The EDICOM solution is designed to integrate seamlessly with any company management system, facilitating process automation and minimizing manual intervention, thus improving efficiency and reducing the risk of errors in data transmission.