An e-invoice is a document that is issued, transmitted, received, and processed electronically. Electronic invoicing (or e-invoicing) is the process of issuing, signing, sending, and storing invoices in compliance with Italian law.
In Italy, e-invoicing has become mandatory for transactions between businesses and natural persons since the 1st of January 2019. Also, e-invoicing is mandatory for the invoices issued to public administrations.
The use of e-invoices allows companies to efficiently reduce the time spent on the administration of payments, as well as dealing with the Tax Administration.
The process of e-invoicing is however different from just digitalizing a traditional invoice and sending it via email. There is a specific procedure that requires the seller to create an invoice in XML format and electronically send it to the Exchange System. This, in turn, validates the correctness of the file, reads it, and sends it to the buyer.
The process of creating the invoice in XML format and sending it to the Exchange System requires technical skills. For this reason, the Italian Tax Authority has given the possibility to companies such as Finom to work as intermediaries, and send e-invoices to the Exchange System on behalf of Italian companies.
Creating and sending e-invoices with Finom makes management of expenses effortless, in compliance with the law.