Peppol as a Global Network Enabling Business Transactions André Hoddevik Secretary General OpenPEPPOL AISBL, Head of eProcurement Unit, Public Procurement Department, Agency for public management and eGovernment (Difi),

www.peppol.eu Agenda

• What is new in Peppol – global growth and value propositions • Moving towards international interoperability • Tax clearance and reporting models – Continuous Transaction Controls

2 What is new in Peppol – global growth and value propositions

www.peppol.eu Current use of the Peppol eDelivery Network Key Performance Indicators

29 254 100 M+

Countries with Certified Certified Access Points Transactions between Access Points Certified Access Points the last 12 months

4 OpenPeppol Membership

379 OpenPeppol members and observers from 34 countries

14 Peppol Authorities • Agency for Digital Government () • Agency for Digital Italy (Italy) • Agency for Public Management and eGovernment (Norway) • Australian Taxation Office (Australia) • Danish Business Authority () • Department of Health and Social Care (UK) • Department of Public Expenditure and Reform (Ireland) • Federal Public Service Policy and Support (Belgium) • Free Hanseatic City of Bremen – KoSIT () • Info-communications Media Development Authority (Singapore) • Ministry of Business Innovation and Employment (New Zealand) • Ministry of Entrepreneurship and Technology (Poland) • SimplerInvoicing (Netherlands) • OpenPeppol AISBL

5 Peppol going global

• South-East Asia Singapore: Official launch was in January 2019 The first Peppol Authority outside Europe Helping to engage other ASEAN countries Malaysia may be next – hopefully by early 2020

6 Peppol going global

• South-East Asia • Trans-Tasman region New Zealand and Australia – new Peppol Authorities The two countries coordinate and align their requirements Planning to go live late 2019

7 Peppol going global

• South-East Asia • Trans-Tasman region • How do we engage other regions? Leverage on already existing Peppol members and Peppol Certified Access Point providers Establish understanding of the Peppol approach with policy makers – identify potential Peppol Authorities Formulate value propositions based on regional drivers (e.g. market-driven or legislation-driven, efficiency- driven and/or tax-driven) Accommodate regional requirements, maintain compliance with Peppol principles

8 Value propositions going global

• Peppol provides a versatile shared language to do business in • Peppol is open and avoids lock-in to any specific service provider • Beyond eInvoicing End-to-end eProcurement already supported, tax clearance and reporting models a great potential • Beyond Business-to-Government Big growth in Business-to-Business usage as the Peppol Interoperability Framework is generic • Beyond Europe Three Peppol Authorities outside Europe so far and strong interest from other countries and regions • Member-owned, democratic, non-profit organisation • Connect once, reach all

9 Moving towards international interoperability

www.peppol.eu

10 Moving toward international interoperability International invoicing

• Pre-study completed by an OpenPeppol Work Group in June 2019 Participation from Europe, North-America, Asia and Oceania • OpenPeppol Work Group on international invoicing established Autumn 2019 OpenPeppol members are invited to participate Target date for a production ready international invoice is autumn 2020 • Overall goal – to establish a Peppol international invoice framework Shared – fully defined Aligned: Generalised → Specialised Distinct content Hierarchical layering • What does this mean?

Pa ge 11 The Peppol international invoice framework – concept

The fully defined European part MUST be Invoice CIUS Peppol BIS shared by all Standard Core Invoice Usage Specification Billing 3.0 EN 16931

International Generalisation interoperability

non EU Implemented as one Compliantspecialisation Compliant specialisation AU, NZ, SG common Peppol BIS US, CA, ME, using conditional rules or etc. in separate Peppol BIS specifications International model Tax clearance and reporting models – Continuous Transaction Controls

www.peppol.eu CTC models CTC = Continuous Transaction Controls*

INTEROPERABILITY B2G e-INVOICING REAL-TIME REPORTING CLEARANCE

Fully digital exchange of any Transactions in public procurement Submission of transactional data in Approval of transactions pre- transaction documents via interop: exchanged with a predefined near-time after issuance issuance and validation post-receipt: • Australia infrastructure: • Hungary • Chile • Finland • EU Member States • South Korea • Mexico • Singapore • Singapore • Taiwan • Turkey • Switzerland • Greece (possibly) • Italy

Variations: (1) domestic framework Variations: single infrastructure (1) Variations: (1) supplier only and Variations: (1) hard / soft clearance and (2) Peppol framework with Peppol and (2) without Peppol (2) both supplier and buyer & (2) outsourced / inhouse clearance

14

* For the term, see International Chamber of Commerce (ICC) document “Practice Principles for Implementation of Continuous Transaction Controls (CTCs) by Tax Authorities” The Peppol four-corner model

1 4 Business agreement Prepare Process

Sender Receiver

SML Address registry

SMP Capability look-up Sender Receiver Service Provider Service Provider

Exchange of Peppol BIS documents between 2 Service Providers 3 with access points

Must send valid Receives Peppol 15 Peppol BIS documents BIS documents How to integrate CTC in the Peppol four-corner model?

1 4

Prepare Process

Sender Receiver

Sender Receiver Service Provider Service Provider

Exchange of Peppol BIS documents between 2 Service Providers 3 with access points

16 How to integrate CTC in the Peppol four-corner model?

5

4 1 TAX Prepare Central Platform Process

Sender Receives tax relevant Receiver subset of Peppol BIS documents

Sender Receiver Service Provider Service Provider

Exchange of Peppol BIS documents between 2 Service Providers 3 with access points

17 How to integrate CTC in the Peppol four-corner model?

• Primary option: Outsourced Clearance Peppol Service Providers act on behalf of the local Tax Administration Service providers send tax relevant subset of Peppol BIS documents to the local Tax Administration The central platform – the fifth corner – is the government’s analytics data vault Enables capturing of tax relevant information from invoices AND other business documents such as orders, despatch advises, goods receipt notes and payment instructions • Other options are up for consideration Possibility also to support already established clearance and reporting models 18 Why use Peppol for CTC?

• Benefits for the governments Real-time control of tax obligations High-performance and maintenance actions put on accredited external parties No need for special SME support Scales to other business document types Handles cross-border transactions

19 Why use Peppol for CTC?

• Benefits for the governments • Benefits for the taxpayers Flexibility in choice of Service Provider, reduced supplier lock-in Flexibility to work with preferred formats and communication protocols Full benefits of end-to-end process automation with rich information content Service Level Agreements upheld by the Service Providers

20 Why use Peppol for CTC?

• Benefits for the governments • Benefits for the taxpayers • The proposal is fully aligned with the International Chamber of Commerce (ICC) document “Practice Principles for Implementation of Continuous Transaction Controls (CTCs) by Tax Authorities”

21 Summary

www.peppol.eu

22 Summary

• Peppol has moved from being European to becoming Global • Peppol is equally relevant for B2B and B2G procurement and invoicing • A Peppol international invoicing framework is being established • Peppol will support tax clearance and tax reporting models

• Want to learn more? –Visit our booth! MORE INFORMATION [email protected] www.peppol.eu

FOLLOW US

24