Want to know more about CFDI?
The CFDI or Digital Tax Invoice via Internet is the e-invoicing model currently applied in Mexico. Since 2014, its use is mandatory for all taxpayers earning less than 250,000 pesos a year and for payroll issuance, as laid down in the 2nd Amendment to the Omnibus Tax Ruling for 2013.
The CFDI system requires the services of an Authorized Certification Provider (PAC) to act on behalf of the issuer. The PAC checks the document and issues a digital certificate on the invoice, validating it for tax purposes. The PAC also submits the stamps or certificates generated to the Tax Administration Service (SAT). This way, most of the process is automated. The user no longer needs to request the serial and folio numbers to be used to create invoices, or submit the monthly statement of the same.
Mexico is currently one of the leading countries in the rollout of e-invoicing. In 2013, the country presented the highest growth rates worldwide. This success has made the country a model for the EU and other Latin American countries like Colombia.