Compliance
Compliance Focus: Staying Ahead of Latin America’s Electronic Invoice & VAT Interest Audits
Latin American tax authorities are increasingly focused on electronic invoicing, VAT credits, and audit risk—learn how businesses can avoid common pitfalls.
By NomadicTax Research Team • 5-8 min read • September 3, 2026
## The Growing Importance of Electronic Invoicing & VAT Controls
From **Mexico’s CFDI** to **Peru's SUNAT** requirements, e-invoices are standard. Underreporting, failing to issue proper digital invoice codes, or improper VAT credits are red flags that trigger audits.
- In Mexico, CFDI must adhere to XML schemas and complementary catalogs; mistakes lead to denial of VAT credits and other penalties.
- Peru’s SUNAT is mandating el uso del **Registro de Ventas e Ingresos Electrónico (RVIE)** and **Registro de Compras Electrónico (RCE)** via the **Sistema Integrado de Registros Electrónicos (SIRE)**, though SUNAT is offering extended periods without sanction for non-compliance during transition. ([cpe.sunat.gob.pe](https://cpe.sunat.gob.pe/node/141?utm_source=openai))
## Audit Triggers & Common Mistakes
- Issuing paper invoices when only electronic versions are valid in your jurisdiction.
- Claiming VAT input credits without valid supplier CFDI or digital invoice codes.
- Failing to accurately code goods/services lines in your e-invoice catalog.
- Delays in adjusting or amending mismatched purchase/sales records in RVIE/RCE or homologous systems. Also failing to adopt updated invoice versions (e.g., Mexico’s updated “DEM” format for special production taxes). ([wwwnp.sat.gob.mx](https://wwwnp.sat.gob.mx/portal/public/tramites/factura-electronica?utm_source=openai))
## Practical Steps to Reduce Audit Risk
1. **Review invoice formats quarterly** to align with catalog changes, schema updates, or new electronic invoice mandates.
2. **Implement standard internal controls**: Only accept invoices with correct digital seals, matching addresses, and verifying supplier tax registration.
3. **Participate early in any grace “amnesty” periods**: For example, Peru’s SUNAT allows extensions for SIRE-related infractions through early 2027 without penalties. ([cpe.sunat.gob.pe](https://cpe.sunat.gob.pe/node/141?utm_source=openai))
4. **Document your processes**—mapping your invoice workflows, record retention, and reconciliation between RVIE/RCE and your accounting system.
## Example: Peru’s Extension & Sanction Grace
SUNAT's recent **Resolución de Superintendencia Adjunta N.º 000041-2026-SUNAT/700000** extends discretionary non-penalty treatment for certain infractions related to RVIE and RCE under SIRE for the periods *August–December 2026 and January 2027* with **subsanation deadlines** through **28 February 2027**. ([cpe.sunat.gob.pe](https://cpe.sunat.gob.pe/node/141?utm_source=openai)) Businesses using SIRE should act now to correct non-compliance without incurring fines.
## Key Takeaways
- Maintain active compliance with e-invoicing systems: PCI, authentication, valid supplier data.
- Monitor policy updates: invoice version changes, grace periods, definitions of “large” vs “small” taxpayers.
- Be proactive: conduct internal audit mock routines to find missing invoices before external reviews.