The Tax Authorities are going to revoke the NIF of the companies that do not deposit their annual accounts in the Mercantile Registry for four years.
For this purpose, the General Regulations of the actions and procedures of tax management and inspection have been modified, with the main objective of strengthening the control by the Tax Administration of inactive entities or those with little or no activity, which are often used for fraudulent practices.
The extension of the cases in which the Tax Administration may revoke the NIF may also have a dissuasive effect on those companies that fail to comply with the obligation to file the annual accounts with the Commercial Registry for four consecutive fiscal years. In addition, this measure can also help to improve the transparency and financial information of companies, since the filing of annual accounts with the Mercantile Registry is a fundamental tool for the knowledge of the economic and financial situation of a company.
It is important to highlight that the revocation of the NIF has serious consequences for companies, such as the impossibility of complying with most of their tax obligations and of dealing with Public Administrations and Credit Institutions. Therefore, it is hoped that this measure will encourage companies to comply with their tax obligations and to maintain adequate transparency in their financial information.
We will never tire of insisting on the need to invest the necessary resources in having an adequate administration of the companies, both in the legal, tax and administrative aspects, always based on the keeping of an orderly accounting, adequate to the activity of the company that allows a chronological follow-up of its operations. This is not what we say, but what the Code of Commerce itself and the Corporate Income Tax Law state.
The accounting and administrative management of companies has evolved significantly, the years of manual accounting have passed, including the way in which accounting experts assist their clients, popularizing the use of computer programs (ERP) that allow the company to perform the daily work and the expert to advise in a more efficient way.
An ERP (Enterprise Resource Planning) is a software that integrates all areas and processes of a company, from purchasing and sales management to accounting, inventory management and production, among others. In this sense, ERP is a very useful tool for small business management, as it allows the integration of all information and processes in a single platform, which facilitates decision making and improves the efficiency of business processes.
Likewise, as experts in accounting and tax management, we advise our clients in its implementation and adaptation to the needs of the company, simplifying (if not automating) the issuance of invoices to customers, processing of supplier invoices and cash management.