Learn more about Peru SUNAT e-invoicing and fiscal reporting requirements

1. Peru Electronic Invoicing and Reporting
Requirements
INVOICEWARE INTERNATIONAL
Global Compliance - Simplified

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Latin America E-Invoicing & Reporting
It is All About Maximizing Tax Collection
Importance of VAT to Latin America Economies
 Brazil NFe – allowed them to collect ~58 Billion USD in a single tax year
 Mexico SAT – 34% increase in VAT collections (~5 Billion USD) in 1H 2014
due to CFDI automation
 Colombia: 50% reduction in VAT and corporate tax evasion could bring
more than COP 15 trillion (USD 8 billion) in additional revenues.

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Latin America E-Invoicing & Reporting
What is VAT?
Minus
Tax You Charge
Your Customers
Tax You Pay
Your Suppliers
Tax You Owe
To Government

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Tax Authorities Control an End To End Process
Government standardized XML linked to VAT Tax reporting = Real Time Audits
Supplier Registers XML
 Government XML Standard
 Only Legal document
 Registers VAT Tax Obligation
PDF Accompanies Truck
 Copy of Invoice OR
 Signed Shipping Document
depending on country
VAT Tax Linked to XML
 Buyer only able to take VAT tax
credits that are linked to
approval codes in supplier XML
 Errors or corrections are the
buyer’s issue to get fixed

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Governments: Constantly Changing & Accelerating
From 3 to 10 Countries in less than 2 Years, More Business Processes Affected
2013 2014 2015-2016
AR eInvoicing
AR eInvoicing
AR eInvoicing
AP eInvoicing
Freight Invoices
SPED ECD
AR eInvoicing
AP eInvoicing
Nomina
eContabilidad
AR eInvoicing
Proforma VAT
AR eInvoicing
AP eInvoicing
Freight Invoices
SPED ECD
SPED ECF
eSocial
AR eInvoicing
AP eInvoicing
Libros Reports

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The Take Away
What the Government Wants
Maximize VAT Collection
What Your Company Wants
Maximize VAT Deductions
Versus
VAT Tax Averages 18% of Sales Across Latin America
$100 Million in Sales = $18 Million in Cash Flow Annually

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Solution Requirements
Simplify Complexity Today, Manage Change in the Future
Cash, Compliance & CostEfficiency & Stability
CFO
Objectives
How do I automate processes with
my customers and suppliers?
How do I streamline transparency of
reporting & cash flow?
Efficiency
 On-time delivery
 Lower Inbound Receiving costs
 Accurate tax reporting & IVA Credits
 Complete audit trails
Cost
 Employee productivity
 Cost and time of shutdowns
 Tax penalties, missed deductions
 Cost of closing books monthly
Flexibility
 Automated Contingency in place
 Process workflows
 Working capital optimization
 SAP as single system of record
IT Consolidation
Chief Information Officer
How do I provide value with fewer
systems and lower costs of upgrades?
 Effort build, integrate, and maintain
SAP & multiple country solutions
 Staff, Solutions, Infrastructure
 Annual upgrades & consulting
 Stable budgeting vs. fire drill projects
 Buffer SAP from change
VP Supply Chain

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Multiple Solutions
• Local country solutions
• Middleware interfaces
• SAP ERP updates
SAP not System of Record
• Data is changed in 3rd party
tools not in SAP ERP
Who Supports?
• Search & Rescue Missions
Who Maintains?
• Alignment with SAP ERP –
global regression testing?
• Ongoing knowledge of what
was done and what needs to
be done
IT – Traditional Approach is Costly
Multiple Solutions, Constant Upgrades
SAP
ERP
Middleware
Integrate the
System
Different
Solutions for
Each Country
CUSTOMER
IDOC1
2
3
4
5
Monitor #1 Monitor #2 Monitor #3-6
Who
Supports
Who
Supports
Who
Supports
6
7
8

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Supply Chain – Business Impact is Substantial
Mission Critical Timing & End User Productivity
Invoicing Can Shut Down Operations
Government approved documents are
needed to ship legally. Built in back up
processes ensure you can always ship.
 Level 1 - On Network Contingency
 Level 2 – On Premise Contingency
 Automatic Reconciliation to get
invoice registered when systems
back on line
Standardization can drive down costs
Use XML Invoice and PDF on trucks to
lower cost in inbound receiving
 Automated Purchase Order – Invoice
matching before the truck arrives
 Eliminate data entry at warehouse
by scanning the PDF for data entry
 Manage discrepancies and trigger
government processes (return
orders, gov’t status messages)

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IT – Financial Accuracy Equals Cash Flow
VAT Remittances & Working Capital Issues
Working Capital Optimization
• Accurate invoicing equates to lower DSO & less returns
• VAT tax obligations & deductions equal millions for multinationals
• Transform mandated compliance into Supply Chain Financing opportunities
Financial Reporting Accuracy - VAT
 VAT obligations in Latin America – 16-22% of goods sold
 Brazil VAT – based on physical movement of goods which means can
owe even before you collect from your end customer
 VAT Credits/Deductions must be linked to supplier’s registered XML
Finance Penalties – Local and FCPA for US Public Companies
• Mexico - $3,000 per event (i.e. transaction) plus denial of deductions
• Brazil -75% to 150% of tax values - $50 Million dollar Chem business
fined $3 Million by SEFAZ for deduction issues (page 30 of 10K)
• Foreign Corrupt Practices Act – SEC fines CPG company 4.2 Million of
Mexico invoices issues; High Tech company FCPA issues approach $108
Million

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Invoiceware International
Business-to-Government Compliance Suite for SAP
Latin America Regional Platform
• Brazil, Mexico, Chile, Argentina, Peru, Ecuador,
Uruguay & Colombia
SAP System of Record
• SAP sole system of record
• Single user interface inside SAP
Process Automation
• Automated Contingency – always be able to ship
• Lower Inbound Receiving & AP Costs
• Transactions & Reports are fully integrated
• Working Capital Optimization solutions
End to End Support
• End to End support in Portuguese, Spanish and
English whether SAP issue or gov’t issues
Fixed Fee - Change Management
• All maintenance is covered by fixed cost annual
fee (software & labor included)

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Invoiceware Solution Coverage
Regional Latin America Compliance Platform
• Brazil
• Nota Fiscal (NFe Goods, Services, CTe)
• SPED & eSocial
• Mexico
• CFDI & Nomina Electronica
• eContabilidad
• Chile
• DTE & Libros Reporting
• Argentina
• eFactura multi-invoice types
• Remitto - COTS
• Peru
• Documents & Libros Reports
• Uruguay
• Documents & Reports
• Ecuador
• Documents & Reports
• Colombia – Pending

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SUNAT Requirements
Requirements in Peru to Legally Operate under E-Invoicing Legislation
 Readiness Declaration
 Real time communication with the SUNAT fro Electronic Documents
 Folio Range for paper invoices
 Documents must be stored for 4 years and you must make document
available to client via the web portal for 1 year.
 Return Status Messages – constancia de recepcion (CDR)
 Contingency Processes – used when systems are down. Resend documents
when systems are back up
 Cancellations - you have 72 hours after receiving the CDR (Communicacion de
Baja)
 Daily Summary – sent daily or at the latest the 7th calendar day
 Inbound Reception – Accept or Reject Supplier XML in 9 days or create a Tax
issue whereby supplier invoice must be altered at Gov’t with Credit/Debit
 Shipping Affected – Invoice, Guia de Remision, and Guia de
Transportista must be on truck
 Audits Affected
 Programa libros electronicos (PLE) - compras y ventas. Income equal to or
greater that 150 UIT = $180,000 USD

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Homologacio Process – Included with Invoiceware
Ensure provider includes Certification as part of projects
This is part of the Authorization Process
 Check if Invoices, Boletas de Ventas, Credit and Debit Notes, Daily
Summary and Contingencies are with standards of the SUNAT
 Bothe the Electronic and Paper Documents must pass the process
 Once Successful completion of the test, the SUNAT will issue a
Resolucion de Intendencia (R.I)
 There is both a Testing and Production phase

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Resources
Click the links below for more information
 [Webinar Replay] Peru SUNAT Announces E-Invoicing Mandate for All
Multinationals
 Are You Prepared for Peru’s Impending Libros Requirements?
 Peru SUNAT mandates checklist
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Next Steps
Contact Us To Learn More
+ 1800 – 988 – 0728
www.invoicewareint.com