What do you need to know?

The Mexican Tax Authorities, Servicio de Administracion Tributaria (SAT), have mandated a new invoice format, the CFDI 4.0, for all Mexican businesses. This mandate will come into effect on 1st April 2023. CFDI 4.0 will replace CFDI 3.3 from this date. Mexican taxpayers can currently optionally use CFDI 4.0.

What does this mean for businesses operating in Mexico?

From April 1st 2023 CFDI 3.3 will no longer be a compliant invoice format for taxpayers in Mexico. CFDI 4.0 can be implemented ahead of the 1st April 2023 transition date for companies who wish to take action immediately. The SAT already has financial penalties in place for businesses that fail to comply with e-invoicing mandates.

When do you need to begin taking action?

To avoid incurring financial penalties and disruption to business operations Mexican taxpayers, regardless of their size, should take action today, if they haven’t already done so.

To minimise business disruption Tungsten Network will ensure a seamless transition for all our suppliers to the new CFDI 4.0 invoice format- either by 1st April 2023 or before.

The Tungsten Network Web Form facility has been accommodating both CFDI 3.3 and CFDI 4.0 since June 2022. We can help our customers to transition to the new CFDI 4.0.

Staying compliant in Mexico – how can Tungsten Network help you?

To ensure that our customers continue to receive a world-class service, Tungsten Network is fully committed to supporting the e-invoicing mandate in Mexico.

Tungsten Network can also perform bespoke validations to ensure highly customised and high-quality output of data for our Mexican buyers.

Why invoice via Tungsten Network instead of Government portals?

Invoicing via Tungsten Network means you will receive a bespoke and tailored service to meet your business’s needs. We can validate CFDIs for compliance based on specific country rules- and also supplement this with additional data to meet the needs of buyers. We work with a certified third party in Mexico to robustly confirm the authenticity of invoices and confirm invoices meet fiscal and compliance requirements.

Tungsten Network provides this additional data, such as purchase order information which is critical to predicting cash flow and controlling budgets, to help our users improve internal processes and drive business efficiency. Finally, we are also able to help with specific reporting services in Mexico