The K coefficient has become a familiar concept to businesses as an important tool in risk management and ensuring the accuracy of electronic invoices. The K coefficient has attracted the attention of many managers and accountants. This article will help you better understand the K coefficient, how to calculate it, its meaning, and the latest changes related to the K coefficient that businesses need to grasp to avoid common risks.
Note: This article is for reference only, as the K coefficient threshold will be regulated differently depending on the following factors: Industry, field, business scale; specific business characteristics;
specific regulations of each tax authority and time.
Table of Contents Hide
1. Overview of K factor
What is the K factor?
Formula for calculating coefficient K according to Official Dispatch 2392/TCT-QLRR in 2023
In case the taxpayer uses electronic invoices exceeding the coefficient K threshold
What does the K factor mean?
Why care about the K factor?
Factors affecting the K factor
2. Electronic invoice control process brazil telegram data according to coefficient K
3. Cause & Explanation of K coefficient
Reasons why businesses can explain the K coefficient
What should accountants do to help businesses avoid risks in explaining the K coefficient?
Sample letter explaining the value of goods sold and inventory value, coefficient K
4. Frequently asked questions about the K factor
What is the K factor and linkfarm and paid links why is it important?
How to calculate K factor?
What is the safe K factor threshold?
If the K coefficient of the enterprise is high, what is the impact?
How to reduce K factor when crawler data it is too high?
1. Overview of K factor
What is the K factor?
The K coefficient is an important parameter/threshold in electronic invoice risk management. It is
used to assess the safety level of an enterprise’s
invoice issuance activities compared to the regulations of the tax authority. The K coefficient is calculated based on the correlation ratio between the total value of goods sold and the total value of inventory and purchased goods.
According to Official Dispatch 2392/TCT-QLRR of the General Department of Taxation on checking electronic invoices, the General Department of Taxation has built a function on the electronic invoice application to meet the requirements of controlling electronic invoices and preventing the issuance of fake invoices.