If you're a freelancer or own an SME that works with the public sector, you know that issuing an invoice isn't as simple as sending an email. Invoicing the Public Administration in Spain has its own rules, a specific format called Facturae, and a single submission channel: the FACe platform.
Understanding this system is crucial not only for getting paid on time but also for preparing for the upcoming wave of fiscal digitalization.
Why is Electronic Invoicing Mandatory with the Public Sector?
Since Law 25/2013, electronic invoicing has been mandatory for most suppliers to Public Administrations. The goal is simple: to streamline, standardize, and increase the transparency of public sector invoice management.
Although there are some exceptions for low-value invoices (generally under €5,000), in practice, most public bodies require this format for all their payments.
Facturae: The Language the Administration Speaks
When we talk about Facturae, we're not referring to a program but to a structured data format. It's an XML file (`.xml` or `.xsig` if signed) that contains all the invoice information in a standardized way so that the Administration's computer systems can process it automatically.
To generate an invoice in Facturae format, you need compatible invoicing software. You can't just create a PDF and send it. The program must be able to build this file with all the fields required by the regulations.
FACe: The Single Entry Point for Your Invoices
FACe is the General Entry Point for Electronic Invoices of the Spanish Government. It's the online platform through which you must send your invoices in Facturae format to any body of the General State Administration, Autonomous Communities, or affiliated Local Entities.
For your invoice to reach the correct department, you will need the DIR3 Codes. These are three alphanumeric codes that identify the Accounting Office, the Managing Body, and the Processing Unit. It is essential to ask your public sector client for them before issuing the invoice, as without them, your invoice cannot be processed.
Steps to Invoice the Administration
1. Generate the invoice: Use your invoicing software to create the invoice in Facturae format, including the DIR3 Codes.
2. Sign it electronically: You will need a valid digital certificate to sign the Facturae file.
3. Submit via FACe: Access the FACe portal and upload your invoice file.
4. Track its status: Once submitted, you can check the status of your invoice (registered, accepted, paid, or rejected) on the same platform.
The Future is Now: From FACe to B2B Electronic Invoicing
The electronic invoicing system with the Administration was just the first step. Digitalization is advancing and will soon affect all transactions between companies and professionals.
The "Crea y Crece" Law already lays the groundwork for mandatory electronic invoicing in B2B transactions. This means the same principle of using a structured format will apply to your invoices with other freelancers and companies. If you want to learn more, you can check our Electronic Invoicing for Freelancers in Spain guide.
Furthermore, the VeriFactu system will require everyone to use invoicing software that guarantees the integrity and traceability of records. The deadlines are already set: January 1, 2027, for companies and July 1, 2027, for freelancers and micro-enterprises.
Mastering invoicing with FACe today will give you a competitive edge and prepare you to comply with future tax obligations without stress.