Effective CARF compliance often requires integration with external APIs for TIN validation, report submission, and third-party services. This guide covers key integration patterns and security requirements.
Integration Overview
Common integration points:
- Tax authority submission portals
- TIN validation services
- Compliance platforms
- Pricing data providers
Authority APIs
Tax authority interfaces vary by jurisdiction:
- EU: Common Transmission System
- National portals: Direct submission interfaces
- SFTP: File-based transfer
- REST/SOAP: Web service APIs
Each jurisdiction may have different submission methods and authentication requirements. Check official guidance for each target jurisdiction.
TIN Validation Services
EU TIN Verification Module
Official EU service for validating EU TINs:
- Web service interface
- Real-time validation
- Batch processing support
Third-Party Services
Commercial services offering broader coverage and additional features such as format validation, reasonableness checks, and historical lookups.
Security Requirements
- TLS 1.2+ for all connections
- Certificate-based authentication where required
- API key management
- Request signing
- Rate limiting compliance
Many tax authority APIs require client certificates. Ensure proper certificate lifecycle management including renewal reminders and secure storage.
Error Handling
Implement robust error handling:
- Retry logic for transient failures
- Error categorization and escalation
- Fallback procedures
- Monitoring and alerting
Conclusion
API integration requires careful security and reliability planning. Test thoroughly in sandbox environments before production use. Document all integration points and maintain contingency procedures.
Automate CARF Compliance
Self-certification, TIN validation, transaction reporting, and XML generation for 76 jurisdictions.