Pre-clearance electronic invoice model – Continuous Transaction Controls CTR
Slovakia has become the latest European e-invoice candidate with the launching of a public consultation and plans implement requirement for B2G e-invoicing in Autumn 2023 (a second delay from Jan and then April 2023) – informačný systém elektronickej fakturácie IS EFA.
Currently, only certain B2G transactions in excess of €5,000 will be mandated to use e-invoicing via the new government IS EFA interface. The Slovakian authorities have set themselves a new target for 2025 (delayed from 2024) for mandatory B2B and B2C domestic transaction on IS EFA. These will become voluntary in 2023 for testing purposes.
Check our Slovak VAT guide. The e-invoicing regime would replace the regular electronic control statement submission.
Domestic B2B and B2C after B2G completed
Slovakia is planning the full implementation its Electronic Invoicing Information System, IS EFA, in several stages, and completed B2G in October 2021. A draft law was issued to extend this to B2B at the start of 2024 – but this is now likely to be missed. This would be six months after Poland.
The EU e-invoice and live transaction reporting proposals are now being considered by the Commission
The new Slovak Ministry of Finance plan aims to extend the current regime to B2B and B2C domestic invoices. Invoices with non-residents would have to be separately reporting. It is considering a pre-clearance system, requiring taxpayers to first live report invoices to the tax authorities for verification and approval. The draft e-invoice could be created via approved accounting software or upload of data into a free online government portal. This is the model first adopted in Italy, and in much of South America.
Check VAT Calc’s global live VAT invoice transaction and e-invoice reporting tracker to see where else real-time submissions of invoices is being implemented.
EU considers Continuous Transaction Controls (CTC) 2028
EU VAT in the Digital Age reforms include a channel for harmonised Digital Reporting Requirements (DRR) and Continuous Transaction Controls (CTC) by EU states. This grew from the 2020 Tax Package proposals for a fairer and more efficient EU tax regime.
