The objective of these validations is to improve the quality of the information supplied to the Tax Authorities and in this way resolve many of the taxpayers’ questions, adapting the FAQs already published to date to the maximum extent possible. One of the most relevant benefits that will come with the implementation of the new SII validations will be the automatic preparation of forms such as 303 (for recurring, quarterly VAT obligations) or 349 (for intracommunity transactions), in addition to minimising inspections of or official requests made to taxpayers.
The document published by the Spanish Tax Authorities is 54 pages long and describes the new validations that will be used by the administration to approve the records sent by companies, depending on the type of transaction.
The questions our clients pose in relation to this very extensive and technical information published by the Tax Authorities always point to the same issue: is this an IT or accounting matter?
The answer is always the same: both. IT departments and departments for accounting software development must update and configure all of their duties so that they are compatible with what the public administration will accept. At this point, however, it is only fair to emphasise the duty of the accountant in these times of digital transformation. If we analyse in detail these new SII validations, we see that if the accountant knows the regulations and the peculiarities of each type of transaction in relation to VAT, the entry will be correct and it will pass the validations without problems. The software must be correctly configured, that is clear, but let us not lose sight of the fact that the person who enters the data must have clear knowledge and this way ensure good praxis, giving the company total transparency in the financial information it provides to the Tax Authorities.
Nowadays companies are forced to make an investment in order to adapt to the technological processes of the public administration. Not doing so implies risking penalties in the event that deadlines are not met or formalities not respected. Although companies’ financial departments, and in general society, have a digital culture and we adapt easily and quickly, it often does not seem to compensate the investment, either in the IT or the accounting department. This feeling is especially acute in small- to medium-sized companies or in subsidiaries of foreign companies which are not familiar with the singularities of Spanish regulations. For these types of companies, it may be advisable to externalise their relationship with the Tax Authorities, trusting accounting agencies which have advanced and flexible software and are up to date on the new developments in tax obligations that the Tax Authorities may require of companies operating in Spain.
Blanca Luria – Account Manager Acos Accounting Solutions