Law 25/2013, of December 27, on the Promotion of Electronic Invoicing and Creation of the Accounting Register of Invoices in the Public Sector

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105860 I. GENERAL PROVISIONS HEAD OF STATE 13722 Law 25/2013, of December 27, on the Promotion of Electronic Invoicing and Creation of the Accounting Register of Invoices in the Public Sector. JUAN CARLOS I KING OF SPAIN To all who see and understand this. Know: That the General Courts have approved and I come to sanction the following Law: PREAMBLE One of the key elements to improve the competitiveness of companies consists in reducing the arrears of Public Administrations, as this will allow reducing their financing needs and avoiding the negative effects this generates on employment and its own survival. With this objective, the report of the Commission for the Reform of Public Administrations contains several proposals for structural reforms to eradicate the arrears of Public Administrations. This Law is one of these structural reforms that promotes the use of electronic invoicing and creates the accounting register, which will allow speeding up payment procedures to suppliers and providing certainty regarding existing pending invoices. This computerized and systematic control of invoices will favor rigorous monitoring of arrears through an indicator, the average payment period, which will visualize the volume of commercial debt of the Administrations and allow, if necessary, to apply the new mechanisms provided for in Organic Law 2/2012, of April 27, on Budgetary Stability and Financial Sustainability, in which the control of commercial debt forms part of the principle of financial sustainability. To strengthen this necessary protection of the supplier, their relationship with Public Administrations is facilitated by promoting the use of electronic invoicing and its telematic management and processing, in line with the "Digital Agenda for Europe," one of the initiatives the European Commission is promoting within the framework of the "Europe 2020" strategy. Likewise, this protection will be reinforced with better accounting control of invoices received by Administrations, which will allow not only better monitoring of the compliance with payment commitments of Public Administrations, but also better control of public spending and deficit, which will generate greater confidence in public accounts. To achieve these ends, this Law includes measures aimed at improving the protection of suppliers, such as the establishment of the obligation to present in an administrative register the invoices issued by services that provide or goods that deliver to a Public Administration within the framework of any legal relationship; the promotion of the use of electronic invoicing in the public sector, mandatory for certain subjects from January 15, 2015; the mandatory creation for each of the Public Administrations, state, autonomous, and local, of general entry points for electronic invoices so that suppliers can present them and they reach electronically the administrative body responsible for their processing and the competent accounting office. In this way, there would be a general entry point for electronic invoices for each administrative level, in total three, unless the Autonomous Communities or Local Entities, in application of the principle of efficiency, adhere to the general entry point for electronic invoices of the General State Administration. cve: BOE-A-2013-13722

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105861 Finally, there is also a commitment to promoting electronic invoicing in the private sector, through the modification of Law 56/2007, of December 28, on measures to promote the information society, applicable from January 15, 2015. Along with the measures adopted to protect the supplier and with the objective of continuing to advance in better control of public spending, this Law also puts into motion measures aimed at Public Administrations, such as the creation of an accounting register of invoices managed by the body or unit assigned the accounting function; the regulation of a new procedure for processing invoices, which will enter into force from January 1, 2014, which will improve their monitoring, and the strengthening of internal control bodies by granting them the faculty to access accounting documentation at any time. This Law consists of a total of 13 articles, grouped into five chapters, six additional provisions, three transitional provisions, one single repealing provision, and eight final provisions. Chapter I specifies the object of the Law and its subjective scope of application. The Law applies to invoices issued for the delivery of goods or the provision of services to Public Administrations, understood as such the entities, bodies, and entities referred to in article 3.2 of the Consolidated Text of the Law on Public Sector Contracts, approved by Royal Legislative Decree 3/2011, of November 14. Chapter II establishes the obligation to present invoices in an administrative register. Chapter III refers to the use of electronic invoicing in the public sector, establishing the format it must have. Likewise, the so-called general entry point for electronic invoices is created, which will be available to each of the Administrations, with the possibility of signing agreements or adhering to the point already implemented by the General State Administration to share its use and that it is not necessary for each Administration to invest resources in developing its own General Entry Point for Electronic Invoices. For these purposes, the minimum characteristics that these points must meet are regulated. Chapter IV regulates the creation of the accounting register of invoices, a new procedure for processing invoices, and the actions corresponding to the body competent in accounting matters. Chapter V collects the effects of the receipt of the invoice, the faculties and obligations of internal control bodies, and collaboration with the State Tax Administration Agency. The first, second, third, fourth, fifth, and sixth additional provisions regulate respectively the regime, for the purposes of this Law, of the constitutional bodies of the State and the autonomous legislative and control bodies, the format of the invoice and electronic signature, the format of the electronic invoice and its tax effects, the exchange of information on debtors of the Administrations, the adherence to the general entry point for electronic invoices of the General State Administration, and the publicity of the creation of the general entry points for electronic invoices and the accounting register of invoices. The first transitional provision provides for the non-application of what is provided in the Law to invoices already issued at the time of its entry into force. However, suppliers who consider it may also present before an administrative register invoices issued before the entry into force of the Law. The second and third transitional provisions provide for the signing of electronic invoices until the content of the advanced electronic seal is developed, and the intermediation between the general entry point for invoices and the administrative bodies responsible for processing, until the respective accounting registers of invoices are available. The repealing provision repeals any provisions of equal or lower rank that oppose what is provided in the Law. cve: BOE-A-2013-13722

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105862 The first final provision refers to the modification of Law 29/1987, of December 18, on the Tax on Successions and Donations. The second final provision collects the modification of Law 56/2007, of December 28, on measures to promote the information society to establish the mandatory nature of electronic invoicing for certain companies and individuals who accept receiving them or have expressly requested them, as well as the executive efficacy of the electronic invoice. The third final provision refers to the modification of the consolidated text of the Law on Public Sector Contracts. The fourth final provision refers to a modification of Law 14/2013, of September 27, on support for entrepreneurs and their internationalization. The fifth final provision determines the basic nature of the Law and invokes articles 149.1.6th, 149.1.8th, 149.1.13th, 149.1.14th, and 149.1.18th of the Spanish Constitution as competence titles under which the Law is issued. The sixth, seventh, and eighth final provisions refer respectively to the regulatory development of this Law, the normative enabling, and its entry into force twenty days after its publication in the Official State Bulletin, except for article 4, which will enter into force on January 15, 2015, and article 9 and the first additional provision, which will enter into force on January 1, 2014. CHAPTER I General Provisions Article 1. Object. The object of this Law is to promote the use of electronic invoicing, create the accounting register of invoices, regulate the procedure for their processing in Public Administrations, and the monitoring actions by the competent bodies. Article 2. Subjective Scope of Application.

1. What is provided in this Law shall apply to invoices issued within the framework of legal relationships between suppliers of goods and services and Public Administrations.
2. For the purposes of this Law, the following shall have the status of Public Administrations: the entities, bodies, and entities referred to in article 3.2 of the Consolidated Text of the Law on Public Sector Contracts, approved by Royal Legislative Decree 3/2011, of November 14, as well as the mutual funds for work accidents and occupational diseases of the Social Security, in the exercise of their collaborative function in the management of Social Security. CHAPTER II Obligation to Present Invoices to Public Administrations Article 3. Obligation to Present Invoices in the Register. The supplier who has issued the invoice for services provided or goods delivered to any Public Administration shall have the obligation, for the purposes of this Law, to present it before an administrative register, under the terms provided in article 38 of Law 30/1992, of November 26, on the Legal Regime of Public Administrations and Common Administrative Procedure, within thirty days from the date of effective delivery of the goods or provision of services. Until the time and form requirements for presentation established in this Law are met, this obligation to present invoices in the register shall not be considered fulfilled. cve: BOE-A-2013-13722

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105863 CHAPTER III Electronic Invoicing in Public Administrations Article 4. Use of Electronic Invoicing in the Public Sector. All suppliers who have delivered goods or provided services to the Public Administration may issue and send electronic invoices. In any case, the following entities shall be obliged to use electronic invoicing and present it through the corresponding general entry point: a) Anonymous societies; b) Limited liability societies; c) Legal persons and entities without legal personality that lack Spanish nationality; d) Permanent establishments and branches of entities not resident in Spanish territory under the terms established by tax regulations; e) Temporary unions of companies; f) Economic Interest Grouping, European Economic Interest Grouping, Pension Fund, Venture Capital Fund, Investment Fund, Asset Utilization Fund, Mortgage Market Regularization Fund, Mortgage Securitization Fund, or Investment Guarantee Fund. However, Public Administrations may regulatory exclude from this electronic invoicing obligation invoices with an amount up to 5,000 euros and those issued by suppliers to services abroad of Public Administrations until such invoices can meet the requirements for presentation through the General Entry Point for Electronic Invoices, according to the assessment of the Ministry of Finance and Public Administrations, and the services abroad have the appropriate means and systems for their reception in said services. Article 5. Format of Electronic Invoices and Electronic Signature. For the purposes of this Law:

1. Electronic invoices sent to Public Administrations must have a structured format and be signed with an advanced electronic signature based on a recognized certificate, in accordance with what is provided in article 10.1 a) of Royal Decree 1619/2012, of November 30, approving the Regulation regulating invoicing obligations. By Order of the Vice President of the Government and Minister of the Presidency, jointly proposed by the Minister of Finance and Public Administrations and the Minister of Industry, Energy and Tourism, the structured format of the electronic invoice will be determined, after hearing the sectoral committee for e-Administration.
2. An advanced electronic seal based on a recognized certificate meeting the following requirements will also be admitted: a) The certificate must identify the legal person or entity without legal personality that seals the electronic invoice, through its name or corporate name and tax identification number. b) The request for the advanced electronic seal may be formulated either through personal appearance of a natural person who accredits their representation, or electronically via electronic DNI and submission of documents accrediting their power of representation in paper or electronic format. The electronic seal is the set of data in electronic form, recorded or associated with electronic invoices, which can be used by legal persons and entities without legal personality to guarantee the origin and integrity of their content. cve: BOE-A-2013-13722

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105864 Article 6. General Entry Point for Electronic Invoices.

1. The State, the Autonomous Communities, and Local Entities shall have a general entry point for electronic invoices through which all electronic invoices corresponding to entities, bodies, and organisms linked or dependent shall be received. Notwithstanding the above, Local Entities may adhere to the use of the general entry point for electronic invoices provided by their Provincial Council, Autonomous Community, or the State. Likewise, Autonomous Communities may adhere to the use of the general entry point for electronic invoices provided by the State.
2. The general entry point for electronic invoices of an Administration shall provide an intermediation solution between the person presenting the invoice and the competent accounting office for its registration.
3. The general entry point for electronic invoices will allow the sending of electronic invoices in the format determined in this Law. The supplier or the person who has presented the invoice may consult the status of the processing of the invoice.
4. All electronic invoices presented through the general entry point for electronic invoices will produce an automatic entry in an electronic register of the Public Administration managing said general entry point for electronic invoices, providing an electronic acknowledgment of receipt with accreditation of the date and time of presentation.
5. The general entry point for electronic invoices will provide an automatic service of making available or electronically sending them to the competent accounting offices for their registration.
6. The State Secretariat for Public Administrations and the State Secretariat for Budgets and Expenses shall jointly determine the standardized technical conditions of the general entry point for electronic invoices. Article 7. Archive and Custody of Information.
7. The responsibility for the archive and custody of electronic invoices corresponds to the administrative body receiving them, without prejudice to its option to use the corresponding general entry point for electronic invoices as a means of archive and custody of said invoices if it adheres to it.
8. When the general entry point for electronic invoices is used for archive and custody of electronic invoices, its information cannot be used for exploitation or transfer of information, except for the administrative body to which the invoice corresponds. This shall be understood without prejudice to the obligations that may arise from tax regulations. CHAPTER IV Accounting Register of Invoices and Processing Procedure in Public Administrations Article 8. Creation of the Accounting Register of Invoices.
9. Each of the subjects included in the scope of application of this Law shall have an accounting register of invoices that facilitates their monitoring, whose management shall correspond to the administrative body or unit assigned the accounting function.
10. Said accounting register of invoices shall be interrelated or integrated with the accounting information system. cve: BOE-A-2013-13722

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105865 Article 9. Procedure for Processing Invoices.

1. The administrative register in which the invoice is received shall immediately send it to the competent accounting office for annotation in the accounting register of the invoice. Electronic invoices presented in the corresponding general entry point for electronic invoices shall be made available or sent electronically, through an automatic service provided by said point, to the accounting register of invoices corresponding to the accounting office indicated in the invoice. The invoice must identify the administrative bodies to which it is addressed in accordance with the thirty-third additional provision of the consolidated text of the Law on Public Sector Contracts, approved by Royal Legislative Decree 3/2011, of November 14. However, the State, the Autonomous Communities, and the municipalities of Madrid and Barcelona may regulatory exclude from this obligation of annotation in the accounting register invoices with an amount up to 5,000 euros, as well as invoices issued by suppliers to services abroad of any Public Administration until such invoices can meet the requirements for presentation through the General Entry Point for Electronic Invoices, according to the assessment of the Ministry of Finance and Public Administrations, and the services abroad have the appropriate means and systems for their reception in said services.
2. The annotation of the invoice in the accounting register of invoices shall result in the assignment of the corresponding identification code of said invoice in the cited accounting register. In the case of electronic invoices, said code shall be communicated to the General Entry Point for Electronic Invoices.
3. The administrative body or unit assigned the accounting function shall send or make available to the body competent to process, if appropriate, the procedure in conformity with the delivery of the good or provision of the service carried out by the issuer of the invoice and proceed with the rest of the actions related to the file for the recognition of the obligation, including, if applicable, the transmission to the competent control body for the prior intervention.
4. Once the obligation is recognized by the competent body, the accounting processing of the payment proposal or order shall identify the invoice or invoices that are the subject of the proposal, through the corresponding identification codes assigned in the accounting register of invoices. Article 10. Actions of the Body Competent in Accounting Matters. The administrative bodies or units assigned the accounting function in Public Administrations:
5. Shall make periodic requirements of action regarding invoices pending recognition of obligation, which shall be directed to the competent bodies.
6. Shall prepare a quarterly report with the list of invoices regarding which more than three months have passed since they were annotated and the obligation has not been recognized by the competent bodies. This report shall be sent within fifteen days following each natural quarter of the year to the internal control body. cve: BOE-A-2013-13722

OFFICIAL STATE BULLETIN No. 311 Saturday, December 28, 2013 Sec. I. Page 105866 CHAPTER V Effects of Receipt of Invoice, Faculties of Control Bodies, and Collaboration with the State Tax Administration Agency Article 11. Effects of Receipt of Invoice in the General Entry Point for Electronic Invoices and Annotation in the Accounting Register of Invoices. The receipt of the invoice in the general entry point for electronic invoices and its annotation in the accounting register of invoices shall have only the effects that, in accordance with Law 30/1992, of November 26, on the Legal Regime of Public Administrations and Common Administrative Procedure, derive from its presentation in an administrative register. Article 12. Faculties and Obligations of Internal Control Bodies.

1. The General Comptroller of the State Administration and the equivalent control bodies in the autonomous and local spheres shall have access to the supporting documentation, the information contained in the accounting register of invoices, and the accounting at any time.
2. Annually, the internal control body shall prepare a report in which it will evaluate the compliance with regulations on arrears. In the case of Local Entities, this report shall be submitted to the Plenary. Article 13. Collaboration with the State Tax Administration Agency. The accounting registers of invoices shall send to the State Tax Administration Agency, via telematics, that information regarding the invoices received, to ensure compliance with tax and invoicing obligations.