The Australasian nations have taken further steps in their plan to implement electronic invoicing. Australia and New Zealand plan to expand the use of electronic invoicing in the B2B field. But, let us start at the beginning …
In 2018, the two countries signed the “Trans-Tasman e-Invoicing Interoperability Framework” agreement. The main objective of this agreement was—and is—to create a common framework for the implementation of electronic invoicing in Australia and New Zealand. It is also meant to encourage industry-wide use of e-invoicing, creating a simple electronic invoicing system.
Both countries maintain very strong trade relations and electronic invoicing has been positioned as cost-saving technology, increasing productivity and reducing expenses.
PEPPOL: the system of choice
In 2019, Australia and New Zealand decided to adopt the PEPPOL network. PEPPOL is a set of specifications and standards that facilitate the electronic exchange of documents between different countries. PEPPOL was initially created under the aegis of the European Union, but is now an international standard.
As of that year, all public administrations and private companies in Australia and New Zealand can bill through PEPPOL.
B2G and B2B electronic invoicing: key dates
The key dates for the adoption of electronic invoicing vary according to country.
Although not yet officially approved, Australia wants all public administrations to use electronic invoicing from 1 July 2022. The Australian government does not intend the deadline for the private sector to be much later.
For its part, New Zealand may delay requirement to the end of 2022.
What is clear is that both countries are determined to encourage the use of electronic invoicing in both the B2G and the B2B domain. They intend to do so through prompt payment policies. In Australia, the maximum payment deadline for electronic invoices has been set at 5 days. In New Zealand it will be a maximum of 10 days.
The introduction of electronic invoicing is surging worldwide. At Voxel we are specialists in electronic invoicing and the digitization of the entire value chain. If you want to learn how to prepare your business for electronic invoicing, contact us!