- The UAE has a mandatory e-invoicing system using the PEPPOL framework for standardized and secure invoice exchanges.
- Message Level Status (MLS) acts as a digital receipt confirming the processing status of an electronic invoice.
- MLS helps businesses comply with the Federal Tax Authority and resolve issues quickly.
- PEPPOL is an international framework for standardizing electronic business document exchanges.
- The UAE uses the PEPPOL Decentralized Continuous Transaction Controls and Exchange model, known as the 5-Corner Model.
- The 5-Corner Model involves the supplier, supplier’s service provider, buyer’s service provider, buyer, and the Federal Tax Authority.
- The UAE uses the PINT AE format for real-time tax data reporting.
- MLS provides acknowledgment of the processing status of electronic documents.
- MLS is sent from the buyer’s service provider to the supplier’s service provider.
- MLS messages are structured in XML format and include status code, document reference, and description.
- Possible MLS statuses include Accepted without confirmation, Accepted with confirmation, and Rejected.
- The process involves invoice submission by the supplier in the PINT AE format.
Source: taxilla.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.