Electronic Invoicing in Mexico: CFDI 4.0 and Recent Updates

Electronic invoicing in Mexico, mandated by the Tax Administration Service (SAT) through the Comprobante Fiscal Digital por Internet (CFDI), is essential for businesses to manage tax obligations and streamline operations, with CFDI 4.0 becoming mandatory on January 1, 2022, introducing significant updates to the invoicing process.
Key changes in CFDI 4.0 include new mandatory fields for receiver information, enhanced validation rules to classify invoices as taxable or for exports, and a requirement for pre-validation of tax data with the SAT before issuing any electronic vouchers, emphasizing the need for businesses to maintain accurate tax information.
Updates also cover foreign trade, payroll, and airline invoicing, with the Foreign Trade Complement requiring mandatory fields since January 18, 2024, and new policies for invoice cancellations mandating reasons for each cancellation to enhance transparency and prevent tax evasion, underscoring the importance of compliance with these evolving regulations.