1. Using Financials for EMEA
  2. E-File Extract for Payables Invoices

E-File Extract for Payables Invoices

This topic explains the implementation and usage guidelines to e-file extract for Payables invoices for Italy.

You can generate the XML file for the specific type of Payables invoices in the predefined FattutaPA format.

These are the types of Payables invoices that you must submit to the Italian Tax Authority:

  • Domestic purchases subject to reverse charge
  • Intra-EU purchases of goods
  • Import of goods
  • Purchases of services abroad
  • Self-invoice
  • Purchases of goods delivered from VAT Warehouse
  • Self-invoice for exceeding the VAT limit amount for purchases without VAT
  • Free supplies

To generate the file, follow these steps:

  1. Create a Payables invoice and select a Document Fiscal Classification code on the invoice header to mark specific types of Payables invoices to E-Filie file generation.
  2. Create accounting for this invoice.
  3. Submit the Electronic Payables Invoice Extract process. Automatically, Electronic Payables Invoice E-Filing child processes and E-Filing files are generated. The files are generated as one file per invoice or one file per supplier, depending on the program parameter. The submitted Electronic Payables Invoice Extract process generates an InvoiceEFiling.zip file. This ZIP file contains all the generated files from the child processes.
  4. You can review the generated InvoiceEFiling.zip file in the Electronic Payables Invoice Extract process log file 5. The generated file contains all the mandatory and conditionally mandatory tags that are reported in the blocks:
    • File header information (FatturaElettronicaHeader)
    • Invoice detail information (FatturaElettronicaBody)

Complete the Setup

To implement the solution, complete the respective Payables application setups and the related tax configuration.

Security Privilege

To use this feature, you need this existing privilege:

Privilege Name and Code: Create Turnover Reporting for Italy privilege (JE_CREATE_TURNOVER_REPORTING_FOR_ITALY_PRIV).

You must complete the security setup as per the steps provided in the Financials Cloud Security Topical Essay, which is available on Cloud Documentation.

Tax Reporting Type Code

The E-Filing Extract file for Italy feature uses Tax reporting type and codes to classify transactions to support E-Filing specification. The feature comes with seeded Tax reporting type, ORA_IT_NATURE_OF_VAT (Nature of VAT for zero-rated transactions). The values starting with prefix ORA are seeded and you must manually define the new values as described in the table below.

To complete setup, follow these steps:

  1. Go to the Manage Tax reporting types page.
  2. Search for the ORA_IT_NATURE_OF_VAT Tax reporting code.
    Tax Reporting Code Description Effective Start Date Effective End Date Note
    ORA_N1 Excluded pursuant to Art. 15 1.1.51 Existing
    ORA_N2 Not subject 1.1.51 31.12.20 This code is no longer permitted to use from 1 January 2021
    N2.1

    Not subject to VAT under the articles from 7 to

    7-septies of DPR 633/72

    		1.1.51 New
    N2.2 Not subject – other cases 1.1.51 New
    N3.1 Not taxable - exports 1.1.51 New
    N3.2 Not taxable - Intra EU transfers 1.1.51 New
    N3.3 Not taxable - transfers to San Marino 1.1.51 New
    N3.4 Not taxable - transactions treated as export supplies 1.1.51 New
    N3.5 Not taxable - for declaration of intent 1.1.51 New
    N3.6 Not taxable – other transactions that don’t contribute to the determination of ceiling 1.1.51 New
    ORA_N4 Exempt 1.1.51 Existing
    ORA_N5 Margin regime / VAT not exposed on invoice 1.1.51 Existing
    N6.1 Reverse charge - transfer of scrap and of other recyclable materials 1.1.51 New
    N6.2 Reverse charge - transfer of gold and pure silver 1.1.51 New
    N6.3 Reverse charge - subcontracting in the construction sector 1.1.51 New
    N6.4 Reverse charge - transfer of buildings 1.1.51 New
    N6.5 Reverse charge - transfer of mobile phones 1.1.51 New
    N6.6 Reverse charge - transfer of electronic products 1.1.51 New
    N6.7 Reverse charge - provisions in the construction and related sectors 1.1.51 New
    N6.8 Reverse charge - transactions in the energy sector 1.1.05 New
    N6.9 Reverse charge - other cases 1.1.05 New
    ORA_N7 VAT paid in other EU countries

    1.1.05

    Existing

Tax Rates

The E-Filing Extract for Payables Invoices for Italy option uses the Tax reporting codes assigned to the tax rates to classify taxes according to the specification.

To set up tax rates, follow these steps:

  1. Navigate to the Manage Tax Rates and Tax Recovery Rates page.
  2. Create the tax rate and select the tax reporting type code, ORA_IT_NATURE_OF_VAT, and tax reporting code from the drop-down list.
  3. Save the data.

Standard Lookups

The E-File is generated only for transactions with a document type (DFC - Document Fiscal Classification or Document Type GDF) which is included in this ORA_JEIT_EFILING_INCLUDED_DOC standard lookup code.

Example: The ORA_TD16 lookup code is linked with DFC value TD16. For an invoice with the Document Fiscal Classification code TD11, the E-Filing file will not be generated because in the ORA_JEIT_EFILING_INCLUDED_DOC lookup type the ORA_TD11 code is not defined.

All the lookup code values for ORA_JEIT_EFILING_INCLUDED_DOC standard lookup type are seeded.

ORA_JEIT_EFILING_INCLUDED_DOC - Type of invoices included to E-file.

This table displays the lookup code values and their details.

Lookup Code Display Sequence Enabled Start Date End Date Meaning
ORA_TD16 10 TRUE 1.1.51 Reverse charge internal invoice integration
ORA_TD17 20 TRUE 1.1.51 Integration self invoicing for purchase services from abroad
ORA_TD18 30 TRUE 1.1.51 Integration for purchase of intra EU goods
ORA_TD19 40 TRUE 1.1.51 Integration self-invoicing for purchase of goods
ORA_TD20 50 TRUE 1.1.51 Self-invoicing for regularization and invoice integration
ORA_TD21 60 TRUE 1.1.51 Self-invoicing for purchases beyond the limit
ORA_TD22 70 TRUE 1.1.51 Extractions of goods from VAT Warehouse
ORA_TD23 80 TRUE 1.1.51 Extractions of goods from VAT Warehouse with payment of VAT
ORA_TD27 90 TRUE 1.1.51 Self-invoicing for self-consumption or for free transfer

Document Fiscal Classification

The document fiscal classification is used for assigning a transaction type to your transactions, which is used for E-Filing file generation. You must select one of these values during transaction entry at the header level for Payables. If the standard document fiscal classification field is not defined and is not updatable, you can enter this value in the document type global descriptive flexfield that is defined for Italy on the invoice header. The Document type on invoice header is not defaulted. It is user responsibility to enter a correct value. In case when Document type is not defined the invoice will not be extracted.

Define manually the document fiscal classification codes required to E-File. The code values are not seeded and the user must define them manually.

To complete the setup, follow these steps:

  1. Go to the Manage Transaction-Based Fiscal Classifications page.
  2. Search for the document fiscal classification codes.
  3. Create child node for ORA_IT_DOCUMENT_TYPE fiscal classification code type and enter these values and save.

    This table displays the fiscal classification code types and their details.

    Fiscal Classification Code Path Fiscal Classification Code Fiscal Classification Name Country Start Date End Date
    ORA_IT_DOCUMENT_TYPE TD16 Reverse charge internal invoice integration Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD17 Integration self-invoicing for purchase services from abroad Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD18 Integration self-invoicing for purchase services from abroad Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD19 Integration self-invoicing for purchase of goods Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD20 Self-invoicing for regularization and invoice integration Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD21 Self-invoicing for purchases beyond the limit Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD22

    Extractions of goods from VAT Warehouse

    		 Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD23

    Extractions of goods from VAT Warehouse

    		 Italy 1.1.1951
    ORA_IT_DOCUMENT_TYPE TD27

    Extractions of goods from VAT Warehouse

    		Italy 1.1.1951

Global Descriptive Flexfields

This table lists the new GDFs to E-File using the existing context Invoices for Italy:

GDF Display Type Read Only Description
Document Type LOV No Document Fiscal Classification codes for Italy are available in the LOV.
E-Filing Invoice Status LOV No
  • On hold
  • Ready
  • Submitted
E-Filing Transmission Number Number Yes Only system update allowed. Updated when the process is run.

Legal Entity

Define Legal Entity, Address, Tax Registration, and Legal Entity Fiscal Classification to report required values in the file.

Supplier

Define Supplier, Supplier Address, and Tax Registration Number to report required values in the file.

Supplier Address

According to the specifications to E-File, companies need to maintain their and third-party addresses in the structured format that includes Country, Street Name with Building Number, Postal Code, City, Province, Phone, Fax, and Email. In the Province, you must define the Province code, which is reported in the file.

Supplier Tax Registration

You can define the tax registration number for supplier in the Manage Tax Registrations as Third-Party Site Tax Profiles. The program picks the tax registration number in this order:

  • Third-Party Site Tax Profile
  • Third-Party Tax Profile
  • Supplier Site Tax Registration number
  • Supplier Tax Registration number

Individual Supplier

In the E-File, the individual supplier is reported with the First Name (tag <Nome>) and Last Name (tag <Cognome>).

Follow these steps:

  1. From the Tax Organization Type drop down list, select Individual.
  2. Create Supplier Address with Phone number, Fax number, and Email.
  3. Create Contact with First Name and Last Name.

Enter Payables Invoices

Follow these steps:

  1. Enter the following information for supplier invoice:
  2. Define Invoice Header and Lines information
  3. On the Invoice Header section, enter document fiscal classification.
  4. If the document fiscal classification field is disabled, enter the document type in the GDF on Invoice Header. Select Regional Information – Invoices for Italy.
  5. Define Invoice Lines details – Product Category (Goods, Services), Purchase Order Number, Quantity, Unit Price, and UOM. Detail information see in the XML Tags Mapping table.
  6. Validate Invoice and create accounting. The E-Filing file is generated only for accounted transactions.
Generic rules for E-Filing file creation:
  • The E-Filing file is generated only for Payables invoices with document fiscal classification codes that are in the ORA_JEIT_EFILING_INCLUDED_DOC_TYPES lookup. Example: For an invoice with document fiscal classification value TD16 and the lookup code ORA_TD16, the E-Filing file is generated.
  • The E-Filing file is generated for the invoice, credit memo, debit memo, and prepayment invoice types.
  • The E-Filing file is generated only for invoices with tax point basis Invoice or Accounting. The invoices with tax point basis Payment are not part of the E-Filing file process.
  • A reverse charge invoice with calculated standard and offset tax line is reported only with positive tax amount and offset tax line is not reported.
  • A credit memo should be defined with the same document type as an invoice but with negative amounts.
  • If an invoice has E-Filing status as 'Submitted' and then you reverse or cancel this invoice, the reversed and canceled lines will not be re-submitted.
  • If 'Multiple invoices of same supplier' is used, you will need to track single invoice rejection manually. You will put the E-Filing status to On hold. After invoice modification and correction, change the status from On hold to Ready and the invoice is prepared for E-Filing file generation. Invoices with generated E-Filing file are stamped with the EFiling status Submitted.
  • All amounts <ImportoTotaleDocumento> Invoice Amount, <PrezzoUnitario> Unit Price, <PrezzoTotale> Taxable Amount, <ImponibileImporto> Taxable Amount, and <Imposta> Tax Amount are reported in EUR currency.
  • If a foreign invoice (Document fiscal classification is TD17, TD18, or TD19) is composed of more lines, one or more lines for goods and one or more lines for service, two XML files are generated with the following rules. The reference numbers you see preceding some of the tags refer to the mapping table described below in the document.
    • Example - Invoice Number is ‘10’
    • The first XML file has the tag 2.1.1.4 <Numero> (invoice number) renamed to '10-TD17' and the tag 2.1.6 <DatiFattureCollegate> = '10'.
    • The second XML file has the tag '2.1.1.4 <Numero> (invoice number) renamed to '10-TD18' (if intra-EU invoice) or '10-TD19' (if not intra-EU invoice) and the tag 2.1.6 <DatiFattureCollegate> = '10'.
    • In this case, it is important to define Product Type (Goods or Services) at invoice line level.
    • In EU supplier case and when Document type (DFC or Document Type GDF) is TD17 and the Product Type on invoice line is:
      • not defined or Services, then tag <TipoDocumento> is TD17 • Goods, then the tag <TipoDocumento> is TD18.
    • In non-EU supplier case and when Document type (DFC or Document Type GDF) is TD17 and the Product Type on invoice line is:
      • not defined or Services, then tag <TipoDocumento> is TD17 • Goods, then the tag <TipoDocumento> is TD19.
    • In EU supplier case and when Document type (DFC or Document Type GDF) is TD18 and the Product Type on invoice line is:
      • not defined or Goods, then tag <TipoDocumento> is TD18 • Services, then the tag <TipoDocumento> is TD17.
    • In non-EU supplier case and when Document type (DFC or Document Type GDF) is TD19 and the Product Type on invoice line is:
      • not defined or Goods, then tag <TipoDocumento> is TD19 • Services, then the tag <TipoDocumento> is TD17.
This table lists the invoice header DFCs or document type GDFs.
Invoice Header DFC or Document Type GDF Supplier Country Product type on invoice line Tag <TipoDocumento>
TD17 EU supplier Null or Services TD17
Goods TD18
TD17 Non EU supplier Null or Services TD17
Goods TD19
TD18 EU supplier Null or Goods TD18
Services TD17
TD19 Non EU supplier Null or Goods TD19
Services TD17

Process Electronic Payables Invoice Extract

Submit the Electronic Payables Invoice Extract Process

  1. Navigate to the Scheduled Process page and select the Electronic Payables Invoice Extract process.
  2. For the parameter Reporting Level, select Legal Entity or Ledger from the list of values.
  3. Define all mandatory and optional parameters.
  4. Submit the process.

The files are generated as one file per invoice or one file per supplier, depending on the program parameter. The submitted Electronic Payables Invoice Extract process generates an InvoiceEFiling.zip file. This ZIP file contains all the generated files from the child processes.

This table lists the default values for process parameters and their descriptions.

Parameter Name Default Value Description
Reporting Level Legal entity

Legal entity – The legal entity to which the transactions belong.

Ledger – The ledger name in which transaction is accounted for.

Note: The E-Filing file should be submitted only for ledgers in EUR because amounts are reported in EUR.

The value TRN is reserved for future functionality.

Reporting Context Legal entity reporting level – Legal entity name. Ledger reporting level – Ledger name.

Tax Registration Number

Legal entity reporting level – The first-party tax registration number of the transaction.

Ledger reporting level – parameter will be empty.

Company Name Legal entity reporting level – parameter will be empty. Ledger reporting level – Company name.
From Accounting Date System date – 1 The earliest accounting date to select.
To Accounting Date System date The latest accounting date to select.

Include Submitted Invoices

 No

List of values:

  • Yes – all transactions with empty status, Ready and Submitted are selected.
  • No – all transactions with empty status and Ready are selected.
File Generation A file per invoice

List of values

  • A file per Invoice – One E-Filing file per invoice is created.
  • A file per Supplier – One E-Filing file per supplier is created and can contain multiple invoices.
Supplier Supplier name.
Invoice Number Invoice number.
Note: The descriptive flexfields segments at invoice header and line level are not part of the E-Filing extract.

Save and Review Generated ZIP File

Follow these steps:

  1. Navigate to the Scheduled Process page and select the Electronic Payables Invoice Extract process.
  2. Click Attachments.
  3. Click InvoiceEFiling.zip file.
  4. Open or Save the ZIP file.

Save and Review Generated XML File

Follow these steps:

  1. Navigate to the Scheduled Process page and select the Electronic Payables Invoice Extract process.
  2. Click Attachments.
  3. Click Republish / Actions / Export / XML.
  4. Open or Save the ZIP file.