2015 Stability Law introduces the Split Payment mechanism. The law states that the Public Administrations purchasers of goods and services, although not subject to VAT, must pay directly to the Treasury the value added tax that has been charged by their suppliers.
It is a mechanism that affects the normal rules for VAT application: technically, with the split payment, PA pays directly to the state, rather than to suppliers, the value added tax, while supplier will not be paid for the full amount shown on the bill (tax and VAT), but only for the amount net of VAT.
The Split Payment applies to invoices issued from January 1st, 2015. Split Payment does not applies to purchases for which the Administration is tax debt - bound to reverse charge - and to fees for services subject to withholding at source by way of income tax.
With its Service Pack 3, Mago.net 3.11 is ready to simplify your accounting of documents issued from 01.01.2015 to the Public Administration!
Since VAT on these documents will no longer be collected, a special code now allows you to identify Public Administrations customers and related documents, in order not to consider VAT on such documents. In this way, the tax will never be counted in VAT payments.
Mago.net 3.11.3 adapts both documents prints, in which is inserted a specific note to highlight that these documents are subject to split payment, and the path for the electronic invoice transmission to Fatel, the Zucchetti e-invoice solution to PA.
Even documents that you have already issued from January 1, 2015 may be adapted.
Mago.net sets the new of Public Administration field on master of customers who already operate in tax suspension: this procedure allows to meet the new regulations also for issued documents, simply with “Print Documents Record” and “Recalculation of Changes in tax collectability” procedures.
Among its many improvements, Mago.net 3.11 Service Pack 3 allows you to manage also the new Split Payment procedure in a simple and immediate way, to be in line with regulations.
Download now the new SP3!
Please remember that if you have activated Microarea Live Update Service the download is for free; just contact your Microarea Reseller to properly upgrade.
If your MLU has expired, call Microarea at 800-012573, to be sure of a non-stop, precise update.