Announcement: Updates to Digital Invoicing and Tax Exemptions to B2B Transactions in Japan -
When you're dealing with global sales, taxes are an integral part of the work you're doing. For many SaaS companies, being able to accurately apply tax exemptions around the world is crucial to precision in quotations and also reporting when taxes are due.
We're thrilled to announce the latest improvements to our approach to tax exemptions when it comes to digital Invoicing. We've also made changes in the way we manage tax exemptions in Japan to be in compliance with new laws that take effect the 1st of October, 2023.
Digital Invoicing Now Allows Tax Exemptions When Creating Quotes
Not only does this simplify workflows for users who previously required retroactively adding the tax exemption on the invoice and also provide additional clarity to the pricing of prospects who receive an estimate, which will result in the growth of the number of customers you can acquire.
Example of the new changes to 's Digital Invoicing Quotes within the app.
This change also includes the requirement for zip or postal codes for both USA as well as Canada. This means we are able to more accurately verify tax exemption numbers prior to the date of quote creation. These changes apply to both quotations created by the user and also quotes created by the end-customers of users.
Note: If you wish to allow tax-free purchases for customers from the USA contact us to us at [email protected] .
Expanded Assistance for Tax Exemptions on Orders From Japan
Tax Exemption
Alongside the improvements we've introduced to Quotes In addition, we've expanded the tax exempt feature to customers that are made in Japan. Users looking to broaden the B2B options they offer within this area will be able to gain access to tax-free options. B2B users that input an authentic JCT tax ID will be able to enjoy an 0% tax rate and then report tax on their own under reverse charge accounting.
Qualified Invoice System (QIS)
The new Japanese invoicing system goes out October 1, 2023!
What is this referring to? After October 1, buyers buying from non-registered QIS issuers will no longer be able to claim input JCT credits on any consumed tax. Credits can only be generated for purchases made from officially authorized issuers such as . that are registered as an issuer with a qualifying status on or before October 1.
Learn more about Japan QIS here.
