Electronic invoicing guide
Paraguay
Digital reporting requirements
Post-clearance (within 72 hours)
Two options are available:
Post-validation: must send the electronic document to the SET within 72 hours of issuance.
Pre-validation: With the SET’s validation before sending to the recipient. It must contain a unique control code (CDC) used to validate the document’s authenticity and to generate the necessary QR code for the KuDE format.
Obligatory
B2C, B2B, B2G for companies called upon to comply with the regulations.
Authority
Undersecretariat of State for Taxation (SET).
Platform
- SIFEN for large companies
- e-kuatia website for small companies
e-Kuatia is an electronic invoicing solution for taxpayers that issue a low volume of e-documents, it allows for the electronic issuance, receipt, and consultation of Documentos Tributarios Electronicos. Taxpayers can voluntarily adopt e-Kuatia or be mandated by the SET.
Format
Local XML.
Storage time
5 years.
Reporting and processes
Reporting
Paraguay operates under a post-clearance system, requiring that DTEs be transmitted to the Subsecretaría de Estado de Tributación (SET) within 72 hours of issuance.
Processes
- Electronic invoices are generated in XML format and must include a stamp for each document.
- Each electronic document must contain a digital signature and a control code to ensure its authenticity and integrity
- The Electronic Biller must send the Electronic Documents to the Tax Administration (SIFEN) for validation.
- Once received, SIFEN verifies the validity of the electronic documents. If they meet the requirements, they acquire the status of Electronic Tax Documents (DTEs) and become valid for supporting VAT tax credit and debit, as well as sales of goods and services, costs, and expenses for income taxes.
- The electronic invoice has legal validity once it is validated and authorized by the Subsecretaría de Estado de Tributación (SET).
- The electronic biller is obliged to consult the result of the verification process through the web service system provided by the Tax Administration.
- When the buyer is an Electronic Receiver, the invoicing company must send the DTEs by web service, email, data messaging, or make them available in an information system for downloading. The receiver must then express conformity or rejection of the DTEs received, indicating the reason in case of rejection.
- When the buyer is a non-electronic receiver, the invoicing party must deliver a graphic representation of the document in physical format, send it digitized by email, or make it available for downloading.
- The DTEs must be retained, and their confidentiality, integrity, accessibility, and subsequent consultation must be guaranteed
Upcoming legislative changes
A total of 4,054 taxpayers must start issuing all tax documents electronically (except for the Virtual Withholding Voucher) according to the following schedule:
- March 3, 2025: Group 11 (499 taxpayers)
- June 2, 2025: Group 12 (500 taxpayers)
- September 1, 2025: Group 13 (500 taxpayers)
- December 1, 2025: Group 14 (499 taxpayers)
- March 2, 2026: Group 15 (500 taxpayers)
- June 1, 2026: Group 16 (500 taxpayers)
- September 1, 2026: Group 17 (500 taxpayers)
- December 1, 2026: Group 18 (554 taxpayers)
Key Rules & Extensions
- Pre-printed and self-printed invoices will no longer be valid after a taxpayer’s mandatory start date.
- Extensions: Taxpayers can request a one-time, 30-business-day extension before their start date by moving to the next group.
- Approval Process: Requests are reviewed by the SIFEN Team and the SIFEN Coordination, with decisions communicated via the “Marandu” Tax Mailbox and the taxpayer’s registered email.
Links of Interest and documents
https://www.dnit.gov.py/web/portal-institucional/
Documents
- Electronic Sales Receipts: Standard receipts for sales transactions.
- Electronic Invoices: Invoices for goods and services.
- Electronic Supplementary Documents: Additional documents related to sales.
- Electronic Receipts: Proof of purchase for consumers.
- Electronic Money Receipts: Receipts for monetary transactions.
- Electronic Dispatch Advices: Documents accompanying goods during transportation.
- Exchange E-invoices: Invoices for exchange transactions.
- RESIMPLE E-receipts: Receipts under the Simplified Domestic Corporate Income Tax Regime.
- E-tickets for Entry to Public Concerts: Tickets for public events.
- IRP E-receipts: Receipts for Individual Income Tax.
- Donation E-receipts: Receipts for donations.
From January 1, 2024: If the transaction amount exceeds PYG 35 million (approximately USD 4,700) or its equivalent in foreign currency, the customer must be identified on the e-invoice.
From January 1, 2025: The threshold is reduced to PYG 7 million (approximately USD 900) or its equivalent in foreign currency. This means that for any transaction above this amount, the customer’s identity must be included on the e-invoice.
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