Invoicing & e-Invoicing

As a leading stakeholder in the global supply chain, the airline industry is also a major worldwide fiscal contributor.

Passenger and cargo airlines have long adopted electronic mechanisms for the sale, reconciliation, reporting, and remittance of liabilities due to governments for their taxable services and supplies. The standard electronic documents utilized by the air transportation industry worldwide and universally accepted by fiscal authorities contain the necessary information relative to the supplier, the user, and the taxable services and supplies reported by the air transportation industry. However, the non-standard and complex invoicing guidelines in VAT regimes are generating administrative and technical implementation burdens. Therefore, IATA urges tax authorities to continue collaborating with the airline industry to avoid non-standard/complex technical requirements that are administratively impractical and financially burdensome, not generating any benefit for States, airlines, or consumers.

On top of these standardization burdens when dealing with tax authorities, airlines also face complexities regarding invoicing and settlement procedures when dealing with customers and suppliers across the industry. IATA's Simplified Invoicing and Settlement (SIS) electronic platform enables the exchange of electronic data among airlines, as well as between airlines and direct operating cost suppliers – using a single standard, which simplifies business activity for the industry.