Leveraging its global experience, Sovos ensures continuous, accurate reporting, helps eliminate fines and penalties, and delivers greater operational efficiency
Wilmington, Mass. – Global tax compliance and reporting software leader Sovos announced today that its eLedger product, part of its Intelligent Compliance Cloud™ will facilitate over 1.5 million real-time value-added tax submissions per year in compliance with Spain’s Immediate Supply of Information (SII) regulation, the latest in a global wave of disruptive tax reporting legislation. Sovos’ eLedger Spain SII product, which streamlines the compliance process and ensures businesses in Spain accurately report mandated transaction-level invoice details, is available for all businesses that must comply with this new law. The Intelligent Compliance Cloud also enables companies to avoid tax penalties, identify missed deductions, and lower their accounting and IT costs.
“Businesses across Spain have been struggling to meet the demands of these newly-mandated, real-time invoice submission requirements and avoid delays in VAT credit refunds and large fines for non-compliance and mistakes,” said Steve Sprague, general manager of VAT compliance & B2G reporting, Sovos. “We’ve leveraged our experience with similar reporting requirements in countries around the world to build the first global solution for real-time tax reporting, enabling businesses with operations in Spain to quickly and seamlessly address these new government mandates.”
On July 1, Spain’s tax agency (AEAT) began requiring companies to submit transactional data on a real-time basis, making it the latest country to employ regulations and technology to maximize tax revenues and address fraud. Governments throughout Latin America and Europe are increasingly adopting new policies for real-time or near real-time reporting to close VAT collection gaps, streamline refunds and conduct audits in a more effective manner. Such regulations require companies to make significant investments in people and technology – and alter business processes in order to avoid errors that result in substantial fines, which can reach 1 percent of the invoice amount in Spain. More than 62,000 businesses, accounting for approximately 80 percent of all invoices in Spain, are impacted by the SII.
The SII mandate requires additional information beyond basic VAT ledger data that many businesses did not previously collect, such as type of invoice, VAT quota deductible, description of transaction and settlement period. With this information, the AEAT will be able to compare both supplier and client sales and purchases, detecting discrepancies to eliminate tax fraud.
The Intelligent Compliance Cloud enables businesses in Spain to:
Be adaptable in a constantly changing compliance environment – The Intelligent Compliance Cloud is immediately and automatically updated when the AEAT implements major or incremental changes, which relieves businesses from having to constantly maintain their own internal systems or upgrade their ERP company-wide.
Gain visibility to avoid penalties - Penalties are triggered by technical and data issues at the invoice level. Sovos empowers companies with corporate-level visibility, missed deduction identification and the ability to easily correct and resubmit data. All relevant information, documentation, workflow and history is available in one controlled location, creating a bulletproof defense trail in case of an audit.
Increase efficiencies – Support for a customizable workflow enables collaboration between team members, with a view of comments, documents and a detailed history.
For more information about Spain’s SII and the Sovos Intelligent Compliance Cloud, visit sovos.com.
Sovos is a global leader in tax compliance and business-to-government reporting software, safeguarding businesses from the burden and risk of compliance around the world. As governments go digital, businesses face increased risk and complexity. The Sovos Intelligent Compliance Cloud combines world-class regulatory analysis with a cloud software platform to create an adaptable, connected and global compliance solution that keeps businesses ahead of the ever-changing regulatory environment. Sovos supports 4,500 companies, including half of the Fortune 500, and integrates with a wide variety of business applications. Based in Boston, Sovos has offices throughout North America, Latin America and Europe. For more information visit www.sovos.com and follow us on LinkedIn and Twitter.