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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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
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. 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. 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. 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. 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. 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. 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
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. 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. 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. 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. 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. 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. 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
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. 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. 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. 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. 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. 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. 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. 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. 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
