How Can PEPPOL Help Your Business? An E-Invoicing Guide (Part 2)

by | Aug 14, 2023 | E-invoicing

Now that you’re familiar with PEPPOL and its advantages, let’s shift the conversation to its e-invoicing features, and how they work to help your business grow.

Who Can I Exchange Documents With?

PEPPOL is the perfect choice for businesses looking to simplify and streamline their invoicing process. By partnering with a PEPPOL Access Point Provider (like SPS Commerce), your service provider can easily connect to the network so you can start sending e-invoices to your trading partners.

How Do I Receive Invoices?

To successfully send an invoice through the PEPPOL network, the receiving company must also be connected to the network. The good news is that many companies are! You can find a full list here. Both companies must be PEPPOL members because PEPPOL provides a standardized and secure framework for exchanging documents between businesses. Each message sent through PEPPOL requires the following:

  • The document to be exchanged
  • The recipient’s PEPPOL ID (aka PEPPOL Participant Identifier)
  • The necessary document type ID and process ID

The Invoice is Paid, Now What?

Once e-invoices are paid, they are typically archived or stored in a digital format for future reference. The storage of e-invoices is important for record-keeping, auditing purposes, and compliance with legal requirements. In Germany, the archiving of e-invoices is governed by the GoBD.

According to the GoBD, e-invoices must be archived in a way that ensures they are available, unchangeable, and complete.

Storage format: E-invoices must be stored in an unalterable and readable format. This means that businesses must use a format that is appropriate for long-term storage, such as PDF/A or TIFF. Other formats may be used if they meet specific requirements, such as being encrypted and signed.

Storage location: E-invoices must be stored in a secure location that is protected from unauthorized access, modification, and deletion. This can be a physical storage location, such as a server, or a cloud-based storage solution that meets certain security requirements.

Storage period: E-invoices must be stored for at least 10 years, starting from the end of the calendar year in which the invoice was issued. This is longer than the standard six-year storage period in many other countries.

Data access: E-invoices must be accessible for review by tax authorities and other authorized persons upon request. Businesses must be able to provide access to the e-invoices in a timely manner, and in a way that ensures the authenticity and integrity of the data.

Audit trail: E-invoices must be accompanied by an audit trail that records any changes or modifications to the invoice. This can be achieved through the use of digital signatures or other verification methods.

How Much Does PEPPOL Cost?

The costs for introducing PEPPOL in a company can vary depending on the size of the company and the existing IT infrastructure. Here are some factors that can impact the cost:

  • Software and hardware upgrades: PEPPOL requires the implementation of new software and hardware. If a company’s current IT infrastructure is outdated or incompatible with PEPPOL, it may need to invest in upgrades to ensure that the system can be implemented effectively.
  • Training and consulting: Companies might need to train employees on how to use PEPPOL effectively. Additionally, consulting services may be required to help with the implementation and implementation of PEPPOL.
  • Transaction fees: PEPPOL charges transaction fees for using their system. Companies will need to factor in these fees when considering the costs of implementing PEPPOL.
  • External service provider fees: If a company hires an external service provider to handle the implementation of PEPPOL, there will be additional costs associated.

Keep in mind that PEPPOL is a secure network that allows you to exchange e-invoices in a compliant and fast way, and you should be in a good spot to take the next step! Our team of experts can answer any further questions you may have.

Faustine Tournay
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