Payment plan could leave out 35 billion in unpaid invoices

The payment plan designed to reimburse government service providers was created to settle debts that the Spanish government owes these providers, but only if the debts were tallied, billed and confirmed with a national registry before January 1, 2012. Business conducted and billed but not officially registered before this date will not but eligible for the payment plan credits.

Companies and workers from sectors most affected by government non-payments point out that there could be another 35 billion in unpaid invoices on top of the 35 billion euros in debt bailout payments that are going to be provided.

Some companies consulted by elEconomista explain that as part of their invoicing rights, they will not complete all of the requirements and signing that is necessary to participate in the payment plan being run by the Spanish government. Because of situations like Castilla-La Mancha, where prior government handed down accounting discrepancies that translated into a 7.3% deficit, the practice of hiding invoices will be abandoned because it compromises business for rather large companies.