# BR-G-10 Export breakdown needs an exemption reason

A VAT breakdown (BG-23) with the VAT category code (BT-118) "Export outside the EU" (G) shall carry a VAT exemption reason code (BT-121) meaning "Export outside the EU" or a VAT exemption reason text (BT-120) "Export outside the EU" (or the equivalent standard text in another language).

## Problem Description

> **ERROR**: EN 16931 VAT category rule

## Context and Significance

For exports outside the EU (category G), the invoice must state why no VAT is charged, as a coded (BT-121, VATEX-EU-G) or free-text (BT-120) exemption reason. In practice, the error occurs when the export note is printed only on the PDF and is not written into BT-120 or BT-121.

## Solution

Add cac:TaxCategory/cbc:TaxExemptionReasonCode (BT-121), e.g. VATEX-EU-G, or cbc:TaxExemptionReason (BT-120) "Export outside the EU" to the G breakdown.

- [Validate XML](/en/xrechnung-validator?source=resource&rule=BR-G-10)
- [Convert invoice](/en/pdf-to-xrechnung?source=resource&rule=BR-G-10)

## Valid Examples

- G breakdown with BT-121 = VATEX-EU-G, or BT-120 = "Export outside the EU"

## Invalid Examples

- G breakdown with neither BT-121 nor BT-120 present

## Code Examples

### Valid XML
```
<cac:TaxCategory>
  <cbc:ID>G</cbc:ID>
  <cbc:Percent>0</cbc:Percent>
  <cbc:TaxExemptionReasonCode>VATEX-EU-G</cbc:TaxExemptionReasonCode>
  <cbc:TaxExemptionReason>Export outside the EU</cbc:TaxExemptionReason>
  <cac:TaxScheme><cbc:ID>VAT</cbc:ID></cac:TaxScheme>
</cac:TaxCategory>
```

### Invalid XML
```
<cac:TaxCategory>
  <cbc:ID>G</cbc:ID>
  <cbc:Percent>0</cbc:Percent>
  <cac:TaxScheme><cbc:ID>VAT</cbc:ID></cac:TaxScheme>
</cac:TaxCategory>
```

## Affected Fields

- [BT-118 VAT breakdown category code](/resources/xrechnung/bt-118-vat-category-code)
- [BT-120 VAT exemption reason text](/resources/xrechnung/bt-120-vat-exemption-reason-text)
- [BT-121 VAT exemption reason code](/resources/xrechnung/bt-121-vat-exemption-reason-code)

## Related Rules

- [BR-G-01](/resources/kosit-validator-errors/br-g-01-export-vat-breakdown-required)
- [BR-CL-22](/resources/kosit-validator-errors/br-cl-22-vatex-tax-exemption-reason)
- [BR-CO-18](/resources/kosit-validator-errors/br-co-18-vat-breakdown-required)

## Validation Tools

- [Official KoSIT Validator](https://github.com/itplr-kosit/validator): Run the official KoSIT validator with the XRechnung configuration to check EN 16931 and XRechnung rules.
- [Convert PDF to XRechnung](/pdf-to-xrechnung): Find validation errors during conversion and review each correction.

## Related Resources

- [Official Specification](https://docs.peppol.eu/poacc/billing/3.0/rules/ubl-tc434/)
- [Test Suite](https://github.com/itplr-kosit/xrechnung-testsuite)
- [All validation errors](/resources/kosit-validator-errors): Overview of the EN 16931, XRechnung and Peppol validation rules explained here.