8 top quoted reasons for mandating Goverment E-invoicing

Paul Turner attempted to summarize the key reasons quoted by the various governments for mandating (or encouraging) electronic invoicing:

1

External compliance pressures

For instance the European Union cross-border trade efficiency agreements, and other pressures such as trading partners demanding e-invoicing).

2

Internal constituency efficiency pressures

For instance a law or policy notice that demands governments to ‘do more with less’.

3

The “clean and green” economy

Internal, external and compliance pressures to cut down paper usage and a reduction in Co2 emissions.

4

Increase the speed of transactions

In line with just-in-time (JIT) methodologies.

5

Reduce fraud and increase financial transparency and openness

For instance e-invoicing’s inherent ability to provide greater transparency and more complete audit trail of transaction approvals and other workflow milestones);

6

Improve and ensure tax compliance among constituents

7

24x7x365

The need for self-service portals for transactions on a ‘always on’ 24x7x365 basis

8

More effective financial capabilities

1. Improve the ability of government to manage cash flow, treasury and budgeting functions: e-invoicing provides the ability to give real-time or near-real-time reporting of cash flow.
2.  Gaining better visibility into cash flow and accounts payable enables government (and industry) to avoid late payment penalties and gain early payment discounts.


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