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Your Guide to Egypt’s E-Invoices & How to Use Them

Your Guide to Egypt’s E-Invoices & How to Use Them

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Digital transformation is reshaping Egypt’s business landscape. Integrating digital solutions is no longer optional. It’s a necessity for efficient and accurate operations. Businesses must adapt to thrive.

That’s why maintaining digital financial records has become crucial for saving both time and money. One of the most important records is electronic invoices, or e-invoices.

In this article, we’ll answer as many of your questions about Egypt’s new e-invoicing system. What is the e-invoice? How it works, why you need it, and how to use it for efficiency and government compliance.

What is the electronic invoice?

The electronic invoice (e-invoice) was introduced as part of Egypt’s Vision 2030 digital transformation initiatives. This system makes electronic transactions mandatory for companies of all sizes.

The e-invoice replaces traditional paper invoices, saving time and ensuring the accuracy and validity of transactions with the Egyptian Tax Authority (ETA).

What is the basic data in the e-invoice?

  1. Company-specific information:
  • Company name, address, and type
  • Tax number
  1. Buyer-specific information:
  • Buyer’s name and address
  • Invoice number
  • Issue date
  • Description, quantity, and prices of products/services

You can also download the e-invoice form in PDF format here.

Are e-invoice formats unified?

If your company issues less than 200 invoices, you don’t need an ERP system and you can issue invoices directly via the ETA portal.

If your company issues more than 200 invoices, then you need an ERP system.

Thus, there is no specific program mandated for issuing e-invoices, and companies can select the system that best suits their needs. 

However, the final format of the e-invoice on the tax portal is standardized. It contains:

  • Buyer and seller data.
  • Details of products or services encoded with either global GS1 codes or the Egyptian code generation system.

The invoice can be printed after it has been electronically signed and used for transactions with customers and suppliers.

Get GS1 barcodes today!

Generate anywhere from 10 to 10,000 barcodes in 48 hours. All barcodes are approved by the Egyptian Tax Authority within 24 hours. Learn more about our packages and services.

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Steps Required to Join the E-invoice System

  1. Register in the e-invoice system
  2. Integrate with the e-invoice system
  3. Obtain an electronic signature certificate
  4. Add complete merchant data

Generate barcodes for goods and services.

Integration With the E-invoice System

Joining the e-invoice system involves several steps, with integration being one of the most critical. Integration ensures the smooth exchange of information between your company and the ETA.

11 Reasons to Start Using the New E-Invoice in Egypt

What does integration with the e-invoice mean?

Integration involves linking your company’s Enterprise Resource Planning (ERP) system to the e-invoice system. This process modifies the ERP system to interact with the API interfaces of the ETA, enabling the exchange of documents and invoices electronically. 

Do All Companies Need an ERP System?

Companies issuing fewer than 200 invoices do not require an ERP system.

Steps for integrating with the e-invoice

  1. Register in the e-invoice system as per the ETA’s instructions.
  2. Integrate with the system using your ERP system by obtaining the SDK from the ETA, which includes a technical explanation of integration procedures.

Software Development Kit (SDK) is a document that outlines how to modify the ERP system to interact with the API for seamless integration.

Application Programming Interface (API) is a technical tool that enables the e-invoice system to connect with external systems for exchanging data and documents.

Frequently asked questions about integration with the ETA’s e-invoice

  1. How do I ensure that the issued invoice has reached the e-invoice system? 
You can verify this by receiving a notification through e-mail, SMS, or the ERP system.
  1. What happens if the seller cannot include the full data of an unregistered buyer (e.g., small traders) on the e-invoice? Will it be accepted by the system? 
  • If the invoice amount is below a value specified by law, it is not mandatory to register the national ID of the unregistered buyer.
  • If the amount exceeds this value, the buyer’s national ID and name must be registered for the invoice to be accepted.
  1. What if there is a system failure? How will invoices be handled during this period?
In the event of system downtime, invoices issued during the period of failure can be uploaded in bulk once the system is operational, provided this is done within the timeframe specified by law.

Electronic signature in for e-invoices

What is an electronic signature?

As the world shifts from paper-based invoices to electronic transactions, the e-signature has become a vital alternative to handwritten signatures. It offers significant advantages, including enhanced protection against fraud and forgery.

In essence, an electronic signature is the digital equivalent of a personal handwritten signature, ensuring your rights and safeguarding against tampering or duplication.

Who can use an e-signature?

You can authorize multiple individuals to electronically sign invoices, with no maximum limit. However, you must consider your company’s specific needs and the capacity of the electronic signature device in use.

With these steps completed, you’re ready to proceed to the product code generation stage!

Barcode generation with GS1

GS1 is the global leader in setting standards for products and services, which is why the ETA recognizes it as a primary source for barcode generation in Egypt.

GS1’s barcode generation system offers exclusive features designed to save you time and effort while ensuring the utmost convenience.

Every product has a unique identity, even if it shares components with others. Differences in origin, weight, and brand make each product distinct.

This is why every product must have its own unique barcode to facilitate daily transactions such as selling, buying, online listing, importing, and exporting.

What are the available barcode generation methods for e-invoices?

The ETA approves two barcode generation systems for e-invoices in Egypt. These are 

  1. Global Barcode Generation System (GS1), known as the GTIN
  2. Internal Code Generation System (EGS)

What Is the GTIN Code from GS1?

The GTIN (Global Trade Item Number) barcode from GS1 is the essential first step in completing the e-invoice form. As the name suggests, the GTIN barcode is globally recognized and easy to use across international markets.

It includes 

  1. The trademark associated with the product or service.
  2. A detailed description of the product.
  3. The total weight of the product.
  4. The unit of measurement for weight or volume.
  5. The country or target market where the product will be sold.
  6. The global classification of the product.

To issue an e-invoice, the product data must first be registered on your GS1 account, known as MyGS1. Within 24 hours, the barcodes will be shared on the ETA platform, streamlining the invoice issuance process.

9 advantages of barcode generation products and services with GS1

  1. Unique barcodes that do not conflict with others.
  2. Automated barcode generation, saving time compared to manual entry.
  3. Immediate barcode acceptance, reducing delays for your company.
  4. Easy, anytime access to your barcodes online.
  5. Centralized product and service information secured with your own username and password.
  6. Elimination of barcode generation gaps for raw materials and services.
  7. Ability to generate barcodes for large product ranges, from 10 to 100,000 items or services.
  8. Dedicated support for inquiries and assistance.
  9. Barcodes activated on the ETA platform within just 24 hours.

What is the EGS barcode for e-invoice generation?

The EGS system applies to products subject to the Egyptian code generation system. This process requires several steps before obtaining a code for the e-invoice.

4 steps for using EGS barcode generation system

  1. Link to the GPC System: Connect the barcodes to the Global Product Classification (GPC) system to identify the global category code.
  2. Register on the E-invoice Platform: Input the barcodes into the platform.
  3. Submit to the ETA: Send the codes for approval. These codes must be issued from the GPC browser for use on your products or services.
  4. Final Code Composition: Approved codes consist of: 
    • Internal code (SKU)
    • Global classification (GPC)
    • Tax registration number (9 digits)
    • EGS abbreviation

Unlike the GS1 system, the EGS system requires waiting for the ETA to review and approve the codes before use.

A comparison between EGS and GS1 barcode generation methods:

Comparison CriteriaGS1 barcodesEGS barcode system
TypeA global barcode generation systemA local Egyptian code generation system
CostPaidFree
StructureConsists of 13 digitsInternal item code + tax registration number + “EG”
Linking to another standardNo linking requiredRequires linking to the GPC system
ETA ApprovalNo approval requiredApproval required within 15 days
AccuracyUniqueMay be duplicated among companies in the same industry

 

Are you looking for GS1 pricing or assistance in registering distinctive codes for your company? 

Contact us now at 16841—our team is available around the clock to support you with all your needs!

How to determine the appropriate type of barcode needed

The language of communication between products is the barcode, a globally recognized code that carries all the data and information related to a product to facilitate its trade. Wherever you look, you will find millions of products bearing this distinctive mark.

GS1 is the leading global entity in product code generation. Without GS1’s mark, it is impossible to unlock essential advantages for your product, such as trade, import, export, and even e-commerce. 

Major platforms like Amazon require products to carry GS1 barcodes to be traded and sold online.

How to generate barcodes for the e-invoice

As mentioned, the e-invoice relies on two types of barcodes:

  1. The GS1 barcode: Approved by the ETA.
  2. The EGS barcode: An internal code generation system, which is less accurate and originally based on the GPC system.

 

How to subscribe to GS1 barcodes

At GS1, we aim to simplify procedures and streamline the steps for purchasing product codes. Here’s how to do it:

  1. Log in to the GS1 Egypt website.
  2. Click on “Get your barcodes” at the top right of the page or visit the pricing page here.
  3. If you’re a new user, you will need to choose a bundle of barcodes and create an account. If you are a returning user, enter your details to sign in and complete your subscription.
  4. Check your email, click Verify, and complete the account creation process.
  5. Enter your email and password, then click Login.
  6. Choose the appropriate barcode bundle based on the number of products you want to add a barcode, then proceed to the next step.

What are the benefits of getting e-invoice barcodes from GS1?

GS1 is the only company approved by the ETA to issue e-invoice codes. This means we offer exclusive advantages.

What is GS1 and how can it help your business?

Simply put, GS1 is the global standard organization for everything you encounter daily! From the mobile or laptop you’re using right now to countless other products, GS1’s fingerprint—the barcode—can be found everywhere.

Products with GS1 barcodes are sold 6 billion times daily across 20 sectors in 150 countries.

In Egypt, GS1 has been serving various sectors since 1997, providing unique codes for products. Your company deserves products that carry a distinctive fingerprint, like a passport to global markets. GS1 supports businesses in product and service code generation, training, and consultancy based on international standards.

What services does GS1 offer?

  1. Barcode generation services: Assigning unique identities to your products and services (e.g., GTIN, GLN, GDTI).
  2. Barcode confirmation: Ensuring barcode accuracy.
  3. Main product data: Professional product images for marketing.
  4. Tracking solutions: Enabling supply chain visibility for various sectors.
  5. Printing solutions: Quality printing for codes.
  6. Authentication: Sharing data with relevant parties (e.g., tax authorities).
  7. Consulting and training: Expertise in global standards.
Do you need more help?

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