Analysis of Leqi's advantages and launch difficulties

Leqi (Natural System) refers to the platform through which the State Taxation Administration provides eligible enterprises, by means of direct connection between the tax system and the enterprise's own information system, with rules-open, standards-unified tax-related services such as fully digitalized e-invoices.

01 What advantages does "Leqi" have?

"China Golden Tax Phase IV" requires enterprises to undergo financial digital transformation and upgrading, and "Leqi" is the best tool!

I. Reduce costs and increase efficiency

Launch Leqi Direct Connection to achieve data-element-driven operations. Enterprises can use data and fully digitalized e-invoices to manage and apply key business, financial, and tax information, connect and run through the entire business-finance-tax-invoice process, and achieve collaborative processing within the same workflow.

Enterprises can connect directly to the tax authority's electronic invoice service platform for invoicing, and perform reimbursement, booking, certification and other operations on the platform, meeting enterprise needs while reducing costs.

No tax control equipment, no invoice type verification, and no invoice requisition required, reducing the previously complex workflows of invoicing, invoice management, invoice receipt, and invoice storage.

Achieve "saving labor," "saving media," and "saving shipping costs."

II. Demonstrate financial value

The tax authority processes various enterprise data through "Leqi," effectively ensuring the authenticity, continuity, and accuracy of the data.

Based on this trusted data, the tax bureau can assess enterprise credit risk without relying on third-party institutions; enterprise credit enhancement and financing can all be evaluated through enterprise data.

Data becomes the embodiment of enterprise value.

III. Tax-enterprise direct connection, risk alerts

Through "Leqi Services," group enterprises can effectively achieve a comprehensive "headquarters-to-headquarters" tax-enterprise direct connection tax-related data management center, thereby supporting the establishment of a first-class finance and tax management system and reducing the degree of information asymmetry between tax authorities and enterprises.

Based on the direct connection system between the group headquarters and the tax administration, build an invoice pool covering all channels and all invoice types, and further create a tax-related data center.

Centralized and automated invoice management, integrating other business systems to achieve an integrated "business-finance-tax" management system.

As the tax authorities continue to open up capabilities such as direct-connection filing and risk warnings on the Leqi platform, tax digital transformation can be promoted at low cost and high efficiency.

02 Analysis of difficulties in enterprise Leqi launch

[One] High requirements for IT professional capabilities, many interfaces and heavy integration tasks, and relatively high professional knowledge requirements

Leqi services are a platform provided by the tax bureau for enterprises to connect directly to the tax bureau for tax interaction.

The logic of the Leqi interface is complex. Enterprises need to expend considerable effort and time to understand the "Taxpayer Leqi Access Guide" and carry out R&D integration, resulting in high costs.

At the same time, tax bureau upgrades and changes are frequent. Once a change occurs, system transformation and integration testing must be completed synchronously within 30 days. If updates are not timely, normal business operations will be affected.

[Two] Leqi only provides invoicing capabilities. Invoice information verification, red-offset balance verification, risk control rules, and alerts need to be developed by enterprises themselves

Leqi services open up all basic capabilities, so enterprises need to preset a large number of basic validations to avoid tax risks, such as invoicing quota validation, taxpayer risk validation, invoice information validation, reversal validation, and so on. Any omission in any step can lead to unpredictable tax risks.

And the tax bureau has also put forward corresponding audit requirements, requiring enterprises to build an audit platform in accordance with the requirements.

[Three] Interface instability often occurs due to iterations, requiring the establishment of a complete compensation mechanism, with an RPA channel as backup

The tax authority is currently upgrading very frequently. In particular, Leqi services are just at the initial 1.5 version. When future tax upgrades cause interface changes, enterprises need to set up a dedicated R&D team to respond to such issues at any time, and the tax authority is also more demanding about the timeliness of upgrades.

When a large number of enterprises connect to Leqi, interface congestion may occur. Compensation mechanisms need to be established to maintain highly available invoicing capabilities, such as idempotency, timeout synchronization switching to asynchronous invoicing, later synchronization of the ledger for automatic red-letter reversal and deduplication, retries during idle nighttime hours, and notifying relevant personnel the next day for manual invoicing, etc.

03 Kailing TechnologyThe invoice management platform enables data connectivity from enterprise-owned business to the Leqi platform

First, Leqi pilot quotas are limited nationwide, and there is little construction experience for enterprises to reference. Moreover, many enterprises are still exploring the construction of fully digitalized e-invoice systems, and simultaneously carrying out Leqi self-construction at this moment puts considerable pressure on them. Choosing an experienced service provider allows reliance on its rich industry experience to formulate more scientific and reasonable plans, helping enterprises quickly pass testing and issue invoices smoothly. Second, the Leqi platform is not an independent anchor point; it needs to integrate the fully digitalized e-invoice system and business-finance systems to connect full-chain data，Kailing Technology LingShuiTongThe digital invoice management platform connects enterprise-owned business data to the Leqi platform.

-Customized one-stop service for Leqi Direct Connection projects

1.Recommended software system architecture plan;

2.Product Function Proposal;

3.Interpretation of the documentation for the invoicing capability of the Leqi Digital Electronic Invoice (Basic Version);

4.By designing test cases, establishing test environments for testing, writing test reports, and reviewing test results, it ensures system quality and stability;

5.Specific Q&A and training.

-Provide Leqi assisted application services

Early-stage consulting and top-level planning

·Analysis of the current state of the business system

·Business pain point discovery

·Preliminary requirements research

·System performance evaluation

·Leqi Integration Consulting and Planning

Solution implementation

·Leqi Integration Solution Formulation

·Qualification Access

·System Design

·Functional Transformation

·Sandbox testing

·System Deployment

AsProfessionalProvider of enterprise business-finance-tax digitalization solutions,KailingKailing Technology has rich project experience, customizing business-finance-tax digitalization construction plans for all industries and completing the fully digitalized upgrade.

In terms of Leqi Direct Connection,Kailing TechnologyBy building a Leqi front-end system locally or in the cloud for the enterprise，Establish a digital high-speed channel between enterprises and the Leqi Digital Open Platform，Help enterprises well manage various business processes of fully digitalized e-invoice issuance and use. It also well supports the issuance of both legacy tax-controlled invoices and fully digitalized e-invoices，During the transition period of dual-track operation of "fully digitalized e-invoices + paper invoices"，Help group enterprises easily respond to multi-scenario invoice business needs from tax authorities and customers.

Beijing Kailing Technology Co., Ltd.——an enterprise business-finance-tax digitalization solution service provider.

Kailing Technology provides solutions for sales management systems, procurement management systems, output invoicing systems, input invoice collection systems, imaging management systems, financial posting systems, electronic accounting archives, fully digitalized e-invoice and Leqi interfaces and other businesses according to enterprise needs, professionally and efficiently helping enterprises transform and upgrade their business-finance-tax digital management.

If you have any business-finance-taxDigitalizationFor transformation needs, welcome to contact us, and Beijing Kailing Technology will serve you wholeheartedly.