The New E-Balance Sheet

ELECTRONIC BALANCE SHEETS REQUIRED FOR TAX RETURNS

Taxpayers who determine their profit using a balance sheet must submit it electronically in the future. The law stipulates that electronic submission is mandatory for fiscal years beginning after December 31, 2011. However, no objection will be raised if the first relevant financial statement is still submitted in paper form. If the fiscal year coincides with the calendar year, as is the case in most instances, electronic submission is only mandatory starting with the 2013 balance sheet.

STRICT CLASSIFICATION REQUIREMENTS FOR E-FINANCIAL STATEMENTS

This is intended to reduce the previously common inquiries or requests for additional information from tax authorities, which should lead to faster processing and cost savings. Mandatory taxonomies have been introduced for the e-balance sheet. These consist of a strictly structured data schema—that is, a fixed structure of items, comparable to a chart of accounts. Schemas have been defined, but they must only be filled in if corresponding business transactions exist. If there was no activity in a required field, this field must be submitted with a zero value. The development of fixed assets (fixed asset schedule) may, but does not have to, be submitted electronically.

If a company’s own accounting system is more detailed than the tax taxonomy, the top-level account may be used; however, it is also possible on a voluntary basis to additionally transmit the specific accounts used here.

CONCLUSION ON THE E-BALANCE SHEET

It must also be in the interest of taxpayers to have an efficient administration. Through standardization and electronic audit criteria, the e-balance sheet certainly improves workflows. Additionally, this automatically provides the tax authorities with indications of taxpayers who stand out and who can expect more frequent tax audits in the future.