Rejection flows for Israel localization

The CTC E-Invoicing System Version 2.0 for Israel localization includes multiple rejection flows that are supported by Infor LN when integrated with Localization Service Platform (LSP). The rejection flows include:

  • Generation of non-deductible invoices without allocation number
  • Cancellation of invoices
  • Request for hearing process

When an invoice is considered on hold by the tax authority, information is transferred from LSP to LN. In this scenario:

  • The Invoice Decision field is set to Decision Required in the Electronic Invoice Information by Document (lpisr1100m000) session.
  • The related Invoice Status is set to Submitted to External System in Invoicing.

For the rejection flows of Israel localization, to release an invoice, these three actions can be performed in LSP:

  • Generate an invoice without an allocation number, and therefore the related tax amount is not deducted.
  • Revoke (cancellation) the invoice.
  • Initiate the request for hearing process, which allows the discussion with the tax authorities regarding the invoice that is on hold. If the invoice is finally approved during the hearing, allocation number is assigned to the invoice.

Continue with non-deductible invoice

If the invoice is generated without an allocation number, the related Invoice Status is set to Approved by External System in Invoicing. The invoice is printed with a legal note related to non-deductible invoice. This text can be specified in the Non-Deductible Tax Note field of the Israeli Parameters (lpisr0100m000) session. The Invoice Decision field is set to Continue with Non-Deductible Invoice in the Electronic Invoice Information by Document (lpisr1100m000) session.

Cancel invoice

If the invoice needs to be cancelled, related information must be received from LSP and processed by LN. The related Invoice Status is set to Rejected by External System in Invoicing. The Status Approval field is set to Rejected and the Invoice Decision field is set to Cancel Invoice in the Electronic Invoice Information by Document (lpisr1100m000) session. The cancellation cannot be reversed, the invoice must be composed again.

Request for hearing

If the hearing is accepted by the tax authority based on the information received from LSP, the Invoice Decision field is set to Request For Hearing in the Electronic Invoice Information by Document (lpisr1100m000) session with a reason message. This is an interim status, and the final status is based on the discussion with the tax authorities:

If an allocation number is received from tax authority, you can specify the allocation number manually in LSP. The invoice is processed by Infor LN, and the Invoice Decision field is set to Settled in the Electronic Invoice Information by Document (lpisr1100m000) session.