Sistema Integrado de Facturación Electrónica Nacional (SIFEN) is a new tax system in Paraguay that facilitates the issuance, reception, validation, and storage of Digital Tax Documents (DTEs) through the e-Kuatia platform.
Electronic invoicing in Paraguay has undergone phased implementation. Paraguay has postponed the implementation date for e-invoicing requirements for newly registered taxpayers to January 1, 2025. The list of obligated taxpayers in each group is accessible on the SIFEN web portal, SET’s webpage, and notified to affected taxpayers through the “Marandu” Tax Mailbox.
DTEs support VAT debit and credit, as well as income, costs, and expenses in income taxes and include electronic sales receipts, electronic invoices, electronic credit notes, and more.
To become a DTE issuer, specific requirements must be met, including obtaining a digital certificate, having technical support, and undergoing mandatory tests in SET’s test environment.
Electronic invoices can be issued through “E-kuatia” a free solution for taxpayers with a low volume of electronic document issuance, or “E-kuatia” a solution for larger taxpayers who can voluntarily or mandatorily join SET for electronic invoicing.
SIFEN validates the documents and turns them into DTEs that support various financial transactions. Legal validity is achieved only when validated and authorized by SET.
Electronic recipients receive DTEs through web services, email, or designated applications. Non-electronic recipients receive a graphic representation called KuDE, which must be stored for six months.
