Phase 1 Annex 4 Survey En[1]

382 views

Published on

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
382
On SlideShare
0
From Embeds
0
Number of Embeds
7
Actions
Shares
0
Downloads
3
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Phase 1 Annex 4 Survey En[1]

  1. 1. PricewaterhouseCoopers Survey on the take-up of e-invoicing by businesses and related difficulties Key Findings 2008 
  2. 2. Contents Profiling the participants Key Findings - Invoice Handling - Attitudes to Electronic Invoicing - Implementation of Electronic Invoicing
  3. 3. Profiling the participants
  4. 4. Profiling the Participants Worldwide turnover Under €50 million 19 €50 to €99 million 16 €100 to €499 million 34 €500 to €999 million 13 More than €1 billion 17 Don't know 1 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 4
  5. 5. Profiling the Participants Annual Balance Sheet Under €43 million 26 €43 to €99 million 15 €100 to €499 million 20 €500m+ 15 Don't know 25 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 5
  6. 6. Profiling the Participants Number of employees worldwide Less than 250 29 250 to 499 19 500 to 999 16 1,000+ 35 Don't know 2 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 6
  7. 7. Profiling the Participants Organisation Size SME 22 Large Enterprise 78 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 7
  8. 8. Profiling the Participants Main line of business 16 Financial services Consumer products 12 9 Business services ‘Others’ include: IT/Technology 7 Recruitment 7 Automotive Manufacturing Media&Communication 7 Retail / Wholesale Industrial 6 Construction&Engineering Pharmaceuticals 5 5 Trasportation Real Estate 5 4 Energy Other 17 0 10 20 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 8
  9. 9. Profiling the Participants Operating markets 2008 B2B 77 B2C 59 Other 3 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 9
  10. 10. Profiling the Participants Operating markets 2005 2008 88 Domestic markets 92 Domestic markets ‘Other’ 55 EU member states 50 EU member states Included: Africa European markets European markets 28 28 Australia outside of the EU outside of the EU Latin America South America 20 Asia 24 Asia Middle East 22 North America 22 North America 13 Other 7 Other 0 10 20 30 40 50 60 70 80 90 100 0 10 20 30 40 50 60 70 80 90 100 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 10
  11. 11. Profiling the Participants Number of member states in which it is necessary to comply with VAT legislation 0-5 60 6-10 13 11-15 3 16-20 4 20+ 15 Don't know 4 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 11
  12. 12. Profiling the Participants Number of customers and suppliers - Domestic Customers Suppliers Less than 10 5 Less than 5 3 11 to 100 8 5 to 9 2 101 to 500 8 10 to 49 13 501 to 1,000 10 50 to 99 14 1,001 to 5,000 13 5,001 to 10,000 11 100 to 499 16 10,001 to 100,000 17 500+ 45 100,000+ 23 Don't know 8 Don't know 6 0 10 20 30 40 50 0 10 20 30 40 50 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 12
  13. 13. Profiling the Participants Number of customers and suppliers – Within EU Customers Suppliers Less than 10 17 Less than 5 14 11 to 100 17 5 to 9 10 101 to 500 8 10 to 49 18 501 to 1,000 8 50 to 99 12 1,001 to 5,000 7 5,001 to 10,000 3 100 to 499 15 10,001 to 100,000 6 500+ 12 100,000+ 7 Don't know 20 Don't know 26 0 10 20 30 40 50 0 10 20 30 40 50 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 13
  14. 14. Profiling the Participants Number of customers and suppliers – Outside EU Customers Suppliers Less than 10 24 Less than 5 27 11 to 100 11 5 to 9 8 101 to 500 8 10 to 49 12 501 to 1,000 1 50 to 99 4 1,001 to 5,000 5 5,001 to 10,000 4 100 to 499 11 10,001 to 100,000 5 500+ 10 100,000+ 5 Don't know 27 Don't know 38 0 10 20 30 40 50 0 10 20 30 40 50 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 14
  15. 15. Key Findings Invoice Handling
  16. 16. Invoice Handling Customer Invoices Approximately how many customer invoices has your organisation issued in the last 12 months? 2005 2008 Less than 1000 22 Less than 1000 7 1,000 to 4,999 13 1,000 to 4,999 6 5,000 to 9,999 13 5,000 to 9,999 7 10,000 to 49,999 12 10,000 to 49,999 15 50,000 to 99,000 12 50,000 to 99,000 11 100,000 to 100,000 to 11 15 499,999 499,999 500,000+ 500,000+ 12 28 Don't know/NA Don't know/NA 5 11 0 10 20 30 40 50 60 70 80 0 10 20 30 40 50 60 70 80 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 16
  17. 17. Invoice Handling Supplier Invoices Approximately how many supplier invoices has your organisation exchanged in the last 12 months? 2005 2008 Less than 500 3 Less than 500 7 500 to 999 2 500 to 999 5 1,000 to 4,999 16 1,000 to 4,999 18 5,000 to 9,999 9 5,000 to 9,999 11 10,000 to 49,999 30 10,000 to 49,999 31 50,000 to 99,000 10 50,000 to 99,000 8 100,000 to 100,000 to 499,999 10 9 499,999 500,000+ 16 500,000+ 4 Don't know Don't know 5 7 0 10 20 30 40 50 60 70 80 0 10 20 30 40 50 60 70 80 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 17
  18. 18. Invoice Handling Inter-company Invoices Approximately how many inter-company invoices has your organisation issued/received in the last 12 months? 2005 2008 Less than 500 38 Less than 500 38 500 to 999 6 12 500 to 999 1,000 to 4,999 16 1,000 to 4,999 11 5,000 to 9,999 7 5,000 to 9,999 4 10,000 to 49,999 11 10,000 to 49,999 5 50,000 to 99,000 2 5 50,000 to 99,000 100,000 to 499,999 7 100,000 to 499,999 2 500,000+ 3 Don't know 25 Don't know 11 0 10 20 30 40 50 60 70 80 0 10 20 30 40 50 60 70 80 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 18
  19. 19. Invoice Handling Which of the following invoicing functions is outsourced by your organisation? Archiving 16 Issuing of 7 sales invoicing Receipt of purchase 7 invoices None 73 Don't know 4 0 10 20 30 40 50 60 70 80 90 100 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 19
  20. 20. Invoice Handling Which type of provider do you use for the outsourcing of invoicing functions? Other Professional 41 Services firms Shared Service 37 Centre (EU) 4 Accountancy firm IT consultancy 11 Other 22 Don't know 4 0 10 20 30 40 50 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 20
  21. 21. Invoice Handling Systems Which of the following systems does your company make use of? A standard ERP 89 system An internally developed billing 26 platform An alternative 21 billingsolution 0 10 20 30 40 50 60 70 80 90 100 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 21
  22. 22. Invoice Handling Systems Which Enterprise Resource Planning system is used by your organisation to bill your customers? SAP 42 ‘Others’ Include: IFS 13 Oracle Resolution Qvaliac MS Business Sol. JD Edwards 4 Other 42 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 22
  23. 23. Attitudes to Electronic Invoicing
  24. 24. Attitudes to Electronic Invoicing . How well informed do you feel about the following technologies? Very poorly informed Fairly poorly informed Fairly well informed Very well informed Neither/Nor Don’t Know Other Means (scanning, 2% -4 -8 30 38 18% PDF, secured website) Electronic Archiving 3% -10 34 -5 29 19% Electronic Data -12 34 3% -5 21 25% Interchange (EDI) Electronic Signatures 24% 5% (both advanced and -15 32 -9 15 qualified) -40 -20 0 20 40 60 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 24
  25. 25. Attitudes to Electronic Invoicing Which of the following statements best describes your organisation’s position in relation to Electronic Invoicing? 2005 2008 We already operate EI with our We already operate EI with our 41 27 customers customers We already operate EI with inter- 21 company invoices We already operate EI with our We already operate EI with our 29 27 suppliers suppliers We are in the process of We are in the process of 8 20 implementing EI implementing EI We plan to start implementation We plan to start implementation 14 29 in the next 12 months in the next 12 months We have decided not to We have decided not to 4 3 implement EI implement EI We have not yet fully considered We have not yet fully considered 17 23 EI EI None 3 Other 1 5 Don't know 0 10 20 30 40 50 0 10 20 30 40 50 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 25
  26. 26. Attitudes to Electronic Invoicing What do you regard as the benefits / potential benefits of Electronic Invoicing? 2005 2008 Increased efficiency 71 79 Increased efficiency Cost reduction 61 74 Cost reduction Faster customer payments 38 42 Faster customer payments Less customer/supplier Less customer / supplier 21 29 disputes disputes In tune with customer In tune with customer 19 29 preferences preferences In tune with supplier 26 preferences 12 Other 5 Don't know 0 10 20 30 40 50 60 70 80 0 10 20 30 40 50 60 70 80 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 26
  27. 27. Attitudes to Electronic Invoicing What do you regard as the problems / potential problems of Electronic Invoicing? 2008 2005 Customer compatability /readiness Customer compatability /readiness 40 35 Supplier compatability /readiness Supplier compatability /readiness 38 21 Readiness /compatability of internal systems Readiness /compatibility of internal systems 25 30 Expensive /high investment required 25 Complexity 23 Complexity 23 Regulation /legislation /dealing with tax authorities 21 Regulation /legislation /dealing with tax authorities 10 Reliability of the system Reliability of the system 18 8 Concerns over return on investment 12 Concerns over return on investment 10 Other 14 Other Don 't know 15 Don 't know 0 10 20 30 40 50 0 10 20 30 40 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 27
  28. 28. Attitudes to Electronic Invoicing Which of the following storage formats are used within your organisation for the archiving of invoices? 2005 2008 Paper 82 Paper 80 Files stored on a Files stored on a 64 72 server server Scanned version of 47 paper invoice only CD Worm 15 CD Worm 29 DVD 12 DVD 15 Tape 7 T ape 28 Other 1 Don't know Don't know 3 1 0 10 20 30 40 50 60 70 80 90 100 0 10 20 30 40 50 60 70 80 90 100 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 28
  29. 29. Attitudes to Electronic Invoicing Are your invoices archived locally or abroad? 2005 2008 Locally 96 Locally 93 Abroad 5 Abroad 6 Don't know 2 1 Don'tknow 0 10 20 30 40 50 60 70 80 90 100 0 10 20 30 40 50 60 70 80 90 100 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 29
  30. 30. Attitudes to Electronic Invoicing For approximately how many years are your invoices archived? <2 2 2 to 4 1 5 to 6 24 17 7 to 9 10+ 53 Don't know 2 0 10 20 30 40 50 60 70 80 90 100 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 30
  31. 31. Implementation of Electronic Invoicing
  32. 32. Implementation of Electronic Invoicing Which of the following functional areas was / will be involved in the implementation of Electronic Invoicing in your organisation? 2008 2005 85 Finance department 80 Finance department 79 IT department 69 IT department Sales department 33 Sales department 45 Tax department 43 Tax department 36 43 Procurement department 34 Procurement department 37 Legal department 27 Legal department Other 3 Other 5 Don't know 4 Don't know 8 0 10 20 30 40 50 60 70 80 90 100 0 10 20 30 40 50 60 70 80 90 100 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 32
  33. 33. Implementation of Electronic Invoicing Indication of the cost related to ensure compliant e-invoicing system No cost at all 21 A little cost 32 Neither/Nor 18 A significant cost 10 A very significant cost 2 Don't know 12 0 5 10 15 20 25 30 35 40 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 33
  34. 34. Implementation of Electronic Invoicing – Which, if any, of the following e-Invoicing technologies has your organisation ...? 64 Electronic Data Interchange (EDI) 15 9 Electronic Invoice Presentment and Payment 52 17 (EIPP) 15 Electronic Bill Presentment and Payment 48 17 (EBPP) 13 32 Already implemented Advanced electronic signatures 19 21 Planned to implement in the next 12 months Planned to implement in the next 3 years 21 Qualified electronic signatures 19 21 57 Other means: scanning 19 9 68 Other means: e-mail (PDF) 15 6 23 Other means: supplier e-Invoicing portal 13 13 9 Don't know 42 57 0 10 20 30 40 50 60 70 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 34
  35. 35. Attitudes to Electronic Invoicing In your opinion, to what extent do you feel that your organisation is currently involved in Electronic Invoicing in the following areas? To no extent at all To a little extent To some extent To a great extent Don’t Know/Refused Domestic electronic 7% -24 23 -14 31 invoicing Electronic invoicing to 26% -17 9 -39 10 another Member State Electronic invoicing to non- -17 5 -42 6 29% EU countries -80 -60 -40 -20 0 20 40 60 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 35
  36. 36. Attitudes to Electronic Invoicing In your opinion, to what extent do you feel that your organisation will be involved in the next 12 months in the following areas? To no extent at all To a little extent To some extent To a great extent Don’t Know Domestic electronic 11% -13 34 -6 36 invoicing Electronic invoicing to 31% -18 18 -23 11 another Member State Electronic invoicing to non- -15 10 -32 8 35% EU countries -80 -60 -40 -20 0 20 40 60 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 36
  37. 37. Implementation of Electronic Invoicing Which of the following best describes the development of your e-Invoicing technology? – 2005 2008 Company-led 64 Company-led 45 Customer-led 15 Customer-led 29 Supplier-led 11 Supplier-led 14 Oursourced 2 Oursourced 6 Other Other 1 Don't know Don't know 9 5 0 10 20 30 40 50 60 70 80 0 10 20 30 40 50 60 70 80 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 37
  38. 38. Implementation of Electronic Invoicing Which of the following processes and controls does your organisation operate in relation to Electronic Invoicing? 2008 2005 Parallel exchange of paper Parallel exchange of paper 51 38 invoices invoices Customer e-Invoicing Customer eInvoicing 44 44 agreements agreements Supplier e-Invoicing Supplier eInvoicing 40 44 agreements agreements 35 Automated matching 38 Automated matching Exchange of order or Exchange of order or 30 51 delivery notes via EDI delivery codes via EDI 30 Automated approvals 27 Automated approvals Inter-company e-Invoicing Intercompany eInvoicing 24 20 agreements agreements 17 Don't know Don't know 0 10 20 30 40 50 60 0 10 20 30 40 50 60 % % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 38
  39. 39. Attitudes to Electronic Invoicing How satisfied are you with the following aspects of implementation? Very dissatisfied Fairly dissatisfied Fairly satisfied Very satisfied Don’t Know N/N 20% 11% -1 -6 28 Speed of implementation 34 16% 20% 16 Legal compliance -10 39 Performance of outside 19% 12 -4 42 23% consultants 19% 16% Customer readiness -3 -10 19 31 Control of implementation 17% 26% -3 -4 17 33 costs 16 Tax compliance -9 41 16% 18% -1 -13 19 Supplier readiness 22 19% 25% -40 -20 0 20 40 60 80 % Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 39
  40. 40. This report provides general guidance only and has been produced with the support of PricewaterhouseCoopers’ e-invoicing and e-archiving network. It does not constitute professional advice. You should not act upon the information contained in this report without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this review, and, to the extent permitted by law, PricewaterhouseCoopers LLP, its members, employees and agents accept no liability, and disclaim all responsibility, for the consequence of you or anyone else acting, or refraining to act, in reliance on the information contained in this review or for any decision based on it. Order no. TAXUD/2007/AO-009 – A study on the Invoicing Directive (2001/115/EC) now incorporated into the VAT Directive (2006/112/EC) prepared by PricewaterhouseCoopers – Final first report – Annex 4 – 14 May 2008 Page 40

×