Income and Sales Tax Department pushes taxpayers to register on JoFotara electronic billing system
The Jordanian Department of Income and Sales Tax has called this week on the owners of companies, establishments and individuals bound by the national electronic billing system to ensure the registration of their companies, facilities and activities with the billing system in order to legally reconcile their tax status.
The department is warning any taxpayers who fail to do so face audits and fines in the longer term as the system goes fully mandatory. The date for this mandate is not yet confirmed; but all B2G transactions must be carried out on JoFotara.
The e-invoicing platform tallows taxpayers to issue invoices through it if they do not have an invoicing system, or to directly link with the tax portal via API if they have an invoicing system.
You can follow VAT Calc’s global live VAT invoice transaction and e-invoice blog with country-by-country real-time reporting plans.
Plans to move to e-invoicing from paper-based regime
Paper-based invoicing was introduced into Jordan in 2019, requiring invoices to be produced in triplicate for the tax office. E-invoicing is permitted with agreement between the customer and the supplier. But there are no rules on the IT or procedures controlling creation, issuance, access and storage.
The government should publish an implementation roadmap and technical requirements before the end of this year.
Key functionality of Jordanian e-invoice system
- Ability to verify that the Invoices data are correct through the automated verification.
- Facility to interact with seller & buyer in order to correct the e-Invoice through credit and debit notes.
- Built-in and provide data analysis solutions that can detect anomalies.
- Ability to differentiate between multiple invoices transaction.
- Ability to handle real time submission of individual invoices as well as batched submission of multiple invoices.
- Ability to generate one accumulated daily invoice for the Sellers (per branch) who has approval for such procedure.
- Ability to handle international transactions.
- Ability to verify paid tax- invoices & provide the service of refunding the (foreigners/ tourists) with paid tax.
- Optionally, system has the ability to generate or verify GST/SST returns based on the information received.
