Articles on: Invoicing

What Is the Late Document Penalty, and How Does It Affect Me?

As we explain in this article, uploading documents late prevents us from being able to comply with our obligations and submit your TSD (taxes), and KMD (VAT) reports in time.

This is a problematic situation. In the best-case scenario, we need to redo your accounting for those periods. In the worst-case scenario, your company will need to pay taxes for any invoice or movement not included as if they were fringe benefits (similar to profit distribution).

To prevent that, since January 2023, we have been applying a late document uploading penalty for each document uploaded after the 5th of the following month.

How does it work?



Each time you upload one invoice after the uploading deadline (which is the 5th of the following month in which the invoice is issued), we will add an extra €2+VAT charge to the invoice.

So, for example, if you upload three invoices for September after October 5 (for example, on October 18 or November 1), we will add €6+VAT to the invoice. So if the invoice was for €79+VAT (for example), it would be a final cost of €85+VAT. This penalty will clearly appear in your invoice as a separate concept.

This penalty does not affect the fact that if we need to redo your company's accounting, we will charge our monthly fee again, as we need to provide the service for that month again. The alternative is declaring the movements and invoices that weren't submitted as fringe benefits. You will have to pay taxes for them, as explained before.

We want to make this fair, and we know sometimes you may need a gentle reminder to get used to the proper accounting routine. That is why we grant all our customers three "penalty credits."

We will waive the penalty if you upload documents late and still have penalty credits. We will instead send you a reminder to upload all the required documents before the deadline next time.

Thanks for helping us do your job and fulfill your company's fiscal and tax obligations in due time!

Updated on: 13/10/2023

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