Importance of e-Invoicing

Estimated reading time, 4 minutes

As of 2024, the use of electronic invoicing will be mandatory in Panama due to Law 256, which establishes its obligatory use to support commercial operations. It is important to adapt the invoicing processes to this new regulation.

• Laws 256 and 257
• June Resolution - 2022
• Characteristics
• Benefits

An electronic invoice is a digital document that serves as proof of a commercial transaction. This type of invoice has the same legal validity as a paper invoice, but is issued, transmitted and received in electronic format.

Laws 256 and 257

Downloadable document at the end of this article.

June Resolution - 2022

Downloadable document at the end of this article.

Characteristics

1. Digital format: It is generated and stored in digital files, usually in formats such as PDF or XML.
2. Electronic signature: Includes an electronic signature that guarantees the authenticity and integrity of the document.
3. Automatic registration: Facilitates accounting registration and document management, as it can be integrated with accounting and ERP systems.
4. Reduced carbon footprint: By not requiring paper, it contributes to sustainability and waste reduction.

Benefits

• Efficiency: Simplifies the billing process by eliminating the need to print, send and file paper documents.
• Security: Provides greater security and reduced risk of loss or fraud.
• Ease of access: Can be easily accessed and shared through digital platforms.
• Tax compliance: Facilitates compliance with tax regulations, as many systems are designed to ensure that electronic invoices comply with legal requirements.

The adoption of electronic invoicing is part of the digital transformation of business processes and contributes to the modernization of tax administration in many countries, including Panama.