Japan
Japan is introducing a new invoice system that will accelerate the requirement for mandated eInvoicing
Do you need to invoice businesses in Japan?
If you answered yes, you may need electronic invoice processing.
Transalis eInvoice™ is a trusted provider of digital invoice processing with companies in Japan
More and more countries, including Japan, are looking for new ways to streamline their processes, eliminate tax avoidance and collect more VAT. Already across the EU, government and public sector organisations are required to use B2G eInvoice processing, and B2B suppliers are being encouraged do the same.
An eInvoice solution from Transalis will streamline your invoice processing with trading partners in Japan.
- Reduce time spent on administrative tasks
- Improve accuracy and minimise disputes
- Remain compliant with complex cross-border regulatory and tax requirements
- Automate invoice validation
- Speed up the entire billing process
Japan eInvoicing regulations
August 9 2023
E-archiving becomes mandatory for electronic trading information from January 2024 Along with the implementation of the amended Electronic Record Retention Law (ERRL), taxpayers will be required to store their electronic trading documents, including invoices, electronically.
The Japanese government amended the Electronic Record Retention Law (ERRL) in 2021 and has implemented it since 2022. There is a two-year grace period for businesses to adopt changes, including storing their e-documents electronically by January 2024.
How archiving in Japan currently works
Archiving hard copies is common in Japan; however, from January 2024, it is no more allowed for certain documents, such as contracts, orders, invoices, receipts, and other similar documents sent or received electronically. According to the ERRL, taxpayers, including SMEs and sole proprietors, must store their electronic trading documents in an electronic format.
In other words, once businesses receive an e-document, including downloading from the cloud or receiving via e-mail, they must archive it electronically instead of printing it and storing it in paper form.
How to comply with the e-archiving requirements
According to the provisions, businesses can apply timestamps on the sending and receiving documents, have a proper system or create an internal process to ensure documents cannot be edited or deleted. It is also possible to use a system that can keep logs of editing and deleting traceable.
Furthermore, documents archived electronically must provide human readability, and the archiving systems must enable search function by transaction data, such as transaction date, amount, and counterparties.
Pagero’s solutions can help businesses fulfil their business requirements and comply with the ERRL regulations.
Need to stay compliant here?
Transalis eInvoice keeps you PEPPOL and tax compliant across borders, with mandates and formats handled for you.
