United Kingdom E-invoicing & Digital Reporting Guide
|B2G (Healthcare) e-invoicing||Yes|
United Kingdom Electronic Invoicing and Digital Reporting Requirements
|Indirect tax control regime||Post audit|
|E-Invoicing/CTC Model||B2G (Healthcare) e-invoicing, e-Ordering and shipping notes|
|Governing entity||HM Revenue & Customs|
|Taxpayers||Suppliers of the National Health Services (NHS)|
|Domestic Transactions||B2B: No, B2C: No, B2G: No, except Supplies to NHS|
|Cross-border Transactions||Export - no, Import - no (Can be required under Terms of supply with NHS)|
|Documents||Invoices, Credit Notes, Orders|
|Supplier-side requirements (AR)|
|Format(s) while sending to the platform||No explicit requirements|
|Format for exchange with buyer/recipient||Peppol BIS or other structured formats accepted by NHS|
|Buyer-side requirements (AP)|
|Receiving document in electronic format||Mandatory for NHS Supplies|
|Acknowledgement of receipt||Yes|
|Response to the document received (Accept or reject)||Possible|
|Archiving Abroad||Allowed (mutual assistance/data protection requirements)|
|Archiving Period||6 years after end of accounting year|
|Other Digital Reporting Obligations|
|SAF-T or other accounting filings||MTD (Making Tax Digital)|
E-invoicing is not mandatory in the UK for B2B, B2C and neither for B2G transactions, with one exception, however, there are formal legal requirements relating to the issuing, receiving and storing of e-invoices.
With effect from March 31, 2022, all invoices submitted to National Health Services Shared Business Services (NHS SBS) should be e-invoices.
What Types of Businesses Does This Apply to?
With effect March 31, 2022, all invoices submitted to National Health Services Shared Business Services (NHS SBS) must be submitted electronically via the NHS’s e-invoicing platform, or via Peppol
Governmental Body Responsible for E-invoicing in the United Kingdom
|HM Revenue & Customs|
|Official website of the tax authority|
Penalties for Not Adhering to the United Kingdom's E-invoice Mandates
- If one has issued and stored invoices electronically, but have failed to meet HMRC’s conditions, then he will have to issue paper invoices until HMRC is satisfied that the system is acceptable.
- If the taxpayer persistently fails to meet the conditions, he may be liable to a penalty.
What does the e-invoicing process in the United Kingdom look like?
In General, Trading taxpayers have the autonomy to agree on the format and method of exchanging invoices.
Electronic invoicing is the transmission and storage of invoices in an electronic format without duplicate paper documents. The electronic format may be a structured format such as XML or an unstructured format such as PDF.
Is SAF-T Needed in the United Kingdom?
E-Invoicing & Global Tax Automation with Fonoa
One way to comply with Digital Reporting Requirements in the United Kingdom is to use a provider like Fonoa.
With Fonoa you can:
- Have one integration for your global needs, including the United Kingdom
- Save time and money by automatically cleaning your data to minimize errors and manual work
- Utilize our validation mechanisms to ensure reporting accuracy, data completeness, full control, and compliance
- Rest assured that transactions are successfully reported or queued for internal investigation with our retry mechanisms
- Get full visibility with our dashboards by filtering criteria, analyzing granular transaction data, and quickly importing /exporting information