Albania has begun to review its tax system with its mandatory e-invoicing system. As of July 1, any company performing B2B transactions will need to submit their invoices electronically to the General Directorate of Taxes. As of September, companies that perform B2C transactions will also have to comply with e-invoice application.
Albania has established a new invoicing and financial control model called Audit System. One of the distinctive features of this system is the mass adoption of the e-invoicing system by Albanian business community.
New Audit System aims to modernize tax model to European standards in order to reduce tax fraud, simplify tax processes and improve overall tax collection. In this respect, the new invoicing system will connect all taxpayers and public institutions that issue invoices.
Project is implemented by Albanian General Directorate of Tax and National Information Society Agency.
Implementation timeline for electronic invoice:
January 1, 2021 – B2G Electronic invoicing.
1 July 2021 – B2B Electronic invoicing.
September 1, 2021 – B2C Electronic invoicing.
Requirements to be able to issue e-invoices in Albania:
Electronic certificate issued by AKSHI.
Regulation through the CIS central billing platform.
Electronic invoice software.
Electronic invoice system in Albania
Audit System requires declaration of invoices to the Albanian Tax General Directorate (DPT). That’s why the government has implemented a centralized billing platform called the Central Information System (CIS). All invoices must be sent to CIS for verification. DPT verifies invoices by assigning a unique code called NIVF. DPT then generates PDF invoices with a QR code containing the NIVF code. These invoices can be downloaded or printed from the CIS platform.
The government said the new tax control system was chosen because it “complies with European Union standards, but is also compatible with today’s technology and allows better and more adaptable opportunities for the Albanian Economy”.
Thanks to this system, taxpayers will be able to instantly verify the status of invoices. And they have been declared correctly their status. This will have a positive effect on transparency and help reduce the informal economy.
All invoices must be kept in electronic format for 5 years. Storage should guarantee authenticity of its source, integrity of the content and readability of documents.
Specification for basic use of electronic invoice UN / CEFACT – Cross-Industry Invoice (Schema XML 16B); Specifications for basic use of electronic invoice – ISO / IEC 19845: 2015 (UBL 2.1).
Corrective electronic invoices
In case of an error in the invoice, a new corrective invoice must be issued. This invoice must include a reference to the original invoice it is correcting.