With the obligation imposed by the Ministry of Finance, unavoidable changes await companies. We’ve compiled the important issues you should know about E-Transformation for you.
As CPM ERP, we have concluded the works we have been carrying out since the beginning of 2013 to make our E-Billing solutions ready for our customers who are obligated to use E-Billing, in accordance with the Ministry of Finance’s General Communiqué on Tax Procedure Law No. 421. During this process, we focused on eliminating the problems our customers might encounter in their work.
From the tracking of dual document numbers to the online monitoring of taxpayers using E-Billing and invoicing processes, each process was analyzed and solutions were generated. Pursuant to the e-invoicing and e-ledger Communiqué published in March this year, all companies that made a turnover of 10 million or more in 2014 are required to practice E-Billing and therefore use E-Ledger. It is estimated that nearly 50,000 companies are now under obligation to use E-Billing and E-Ledger.
What is the deadline for switching to E-Ledger?
The companies required to switch should complete all application procedures by December 31, 2015 and start using software that complies with E-Billing and E-Ledger regulations as of January 1, 2016. As CPM, we’ve successfully completed the software for TFRS (Turkish Financial Reporting Standards) and Multilanguage software in 2012, E-Billing software in 2013 and E-Ledger software in 2014, and we are happy to have made them available for our customers in time.
Can companies which are not obligated to use E-Billing use E-Ledger?
It is no longer a requirement for the companies to be included in E-Billing scope in order to use E-Ledger. In addition, companies that switch to E-Billing voluntarily, despite not being required to do so in terms of 2011 gross sales criteria, are not required to switch to the E-Ledger system.
Which ledgers will be kept in E-Ledger?
According to the General Communiqué No. 1 on E-Ledger, the system will keep daily wage and final entry ledgers.
What are the important things that companies must pay attention to when using E-Ledger?
When loading the E-Ledger patent onto the GIB (Turkish Revenue Administration) system, no month should be skipped. Even if there are no records of daily wages for a month, seal and patent should be included in that month’s ledger and loaded onto the GIB system. Once the ledger for the month is created and the GIB patent is received, the existing record cannot be erased and a new GIB patent cannot be received for a retrospective correction. The necessary accounting adjustment entry for past period errors should be made in the current fiscal term.
What is E-Archive?
The transformation isn’t limited to E-Billing and E-Ledger. The E-Archive regulations have been published for companies that issue invoices for the end user. These regulations allow the invoice to be transmitted electronically if the other party is not an E-Billing obligant.
What are the requirements for switching to E-Archive, and what are the advantages?
Similar to E-Billing but in a slightly different structure, these invoices should be transmitted electronically to GIB-certified integrators that use E-Archive. With E-Archive use, companies that make bulk invoices for the end user will save paper and mail costs and GIB will also be able to monitor these taxpayers more effectively at a lower cost. Besides, of course, our biggest advantage is that fewer trees will be cut down to produce paper.
And what should we do for the invoices we do not want to accept?
As with any change, this one triggers other necessities as well. While, previously it was enough not to accept any disputed invoices at the time of delivery, now with E-Billing they are directly delivered to our inbox. According to the law, if we do not want to add these companies to our system, we are required to provide a notarized written warning. The Certified E-Mail (KEP) Communiqué, which requires companies to have certified electronic mail, will allow for these written warnings to be generated electronically with a single click, without having to go to the notary. At CPM, we plan to generate written warnings by the end of this year, particularly for companies that do not use basic E-Billing, with a single click using the program.
Is there a particular integrator you work with for E-Billing solutions?
As CPM family, we’ve chosen to work with ING E-Billing Solutions to generate solutions for integration and special integration methods, as they are experienced, have a solid foundation and are able to provide their customers with the most benefits.
What is the difference between Special Integration and Integration?
Special Integration: It is a method that uses professional service providers called special integrators, as intermediaries to exchange data with the Turkish Revenue Administration. In this method, the user is not required to receive local stamps. Special integrators offer stamping service as well. With this method, the user does not have to complete any additional procedures. He or she only needs to send the invoice to the integrator using the system. The CPM ERP software manages the subsequent processes. In this method, the user does not have to complete any additional procedures. It is sufficient to send the invoice to the integrator using the system. The CPM ERP software manages the subsequent processes.
Integration: It is a method in which taxpayer’s exchange information with the GIB by directly integrating their own information technology system with the GIB system using certified connection software. Our customers who want to use integration method will be able to make E-Billing procedures by obtaining the connection software provided by special integrators.