In a significant step towards modernizing its fiscal infrastructure, Madagascar is in the process of developing a centralized electronic invoicing system, with possible implementation in 2025. This initiative is part of the recent amendment to the country’s Finance Law, which includes the creation of an e-invoicing platform designed for the structured management of VAT invoices.
Project objectives
The new electronic invoicing system in Madagascar aims to:
- Verify existing tax revenues. The platform will enable a more precise and efficient review of tax revenues, ensuring that the data is accurate and up-to-date.
- Eliminate fraud in transactions. With a centralized system, it is expected to significantly reduce the chances of fraud in transactions, ensuring greater transparency and accuracy in invoice recording.
- Reduce compliance costs. For both taxpayers and the “Direction Générale des Impôts” (DGI), the new system is designed to promote savings for both parties.
Implementation perspectives
Although an exact date for the system’s application has not yet been set, the most likely timeline for its implementation is the year 2025. The introduction of this platform represents an important step in the digitalization and improvement of efficiency in the country’s tax administration.
The development of this centralized system will not only ease the task for tax authorities but will also provide taxpayers with a modern and effective tool for managing their tax obligations. This project is part of a broader effort by the Malagasy government to optimize its tax collection system and ensure greater integrity in the fiscal process.
With these advancements, Madagascar is aligning with global trends towards fiscal digitalization, expecting to achieve substantial benefits in terms of transparency, efficiency, and cost reduction. The business community and taxpayers should prepare to adapt to these changes and take advantage of the opportunities the new platform will offer.
