Pagero eArchive solution is a value-added product offered by Pagero Online which helps you to ensure legal archiving for your fiscal and business documents transported via the Pagero Network. The solution is adaptable to multiple legislative requirements and is designed to adapt to the relevant country-specific requirements with minimum configuration by you as a customer.
What is Retention Time?
Retention Time is the period for which local regulations require that certain fiscal or accounting documents, e.g. invoices, must be archived. A single jurisdiction might, however, require different retention times for the same document type, such as invoice, based on the nature of the underlying transaction. We refer to this as “Retention Type”.
What do the different "Retention Types" mean?
As Pagero offers a global Archiving solution, we have adapted and grouped various Retention Types from different jurisdictions into the following categories:
- Standard –is the main default retention time for which documents, such as invoices, must be archived. Most fiscal transactional documents issued, exchanged and received by businesses follow the standard retention type, unless any of the deviating retention requirements apply.
- Capital / investment assets – is an exception rule that defines the retention time for transactions relating to the sale and purchase of capital and investment assets, as defined in the respective jurisdiction.
- Immovable / real-estate property – is an exception rule that defines the retention time for transactions relating to the sale and purchase of immovable and real-estate property, as defined in the respective jurisdiction.
- Adjustment schemes and other special cases – is an exception rule that defines the retention time for transactions under adjustment schemes (e.g. due to application of special write-off schema or under OSS/IOSS schema) or other special assets (e.g. oil drilling equipment), as defined in the respective jurisdiction.
More information on country-specific archiving requirements and retention times mapped by Pagero can be found in section 8 Document Retention of respective Country Compliance Report (CCR).
CCR/-s for your country/-ies can be requested from your account or delivery manager alt. you can download it yourself, if you have purchased Pagero’s Compliance Library.
How is Retention Time calculated?
As the moment from which the Retention Time must be calculated from differs between different jurisdictions (e.g. from the moment of transaction, from the beginning of the following calendar year, from the end of the fiscal year, etc.), the rule applied by Pagero equals to selected Retention Type X years + . Once this time has elapsed, Pagero Archiving solution will automatically remove such documents and all associated metadata.
If you have selected to configure your own customized retention time instead, the rule applied equals to configured Retention Time X years + 1 year.
Why does Pagero recommend that I select a pre-defined Retention Type instead of customizing my own?
Selecting a predefined Retention Type will allow Pagero to automatically update the underlying Retention Time without any involvement from your side, would the legally defined retention period change. If retention periods change, you will be notified via Pagero’s Compliance Alert service you have subscribed for. The predefined Retention Types are based on a legislative investigation performed by Pagero’s Regulatory Affairs team. The options you are given are determined by country you have selected in the setting “Select jurisdiction” and each Type is configured based on your country’s specific requirements.
Should you instead choose to customize the retention time, Pagero will not be able to apply such updates automatically on your behalf. Thus you will be required to track regulations and implement responsible changes by yourself.
I don't know the Retention Time needed for my documents, who should I address this to within my organization?
Archiving rules and retention times are driven by regulations, usually tax, accounting or commercial legislation. To find out the rules applicable specifically to you, you can seek for advice from your tax, accounting or finance department alt. an external tax consultant. You can as well consult Pagero's Country Compliance Reports to find certain guidance, but you should keep in mind that it includes information on general level and does not take into account any circumstances that are specific to your operations.
For more information about how to configure your Archive settings, see the article on How to configure retention preference