Reference

BR-O-07 Category O document charge must not carry a VAT rate

A document level charge (BG-21) whose VAT category code (BT-102) is "Not subject to VAT" (O) shall not contain a Document level charge VAT rate (BT-103).

Category O amounts are outside the scope of VAT, so a rate on a document level charge is forbidden, even 0. In practice, the error occurs when a pass-through cost is added as a charge with the rate field pre-filled.

Solution

Delete cbc:Percent (BT-103) from the charge cac:TaxCategory; category O carries no rate.

Quick actions

Validate XML Convert invoice

Valid Examples

Document charge with cac:TaxCategory/cbc:ID = O and no cbc:Percent

Invalid Examples

Document charge with cbc:ID = O but cbc:Percent = 0 present (BT-103)

Code Examples

Valid XML

<cac:AllowanceCharge>
  <cbc:ChargeIndicator>true</cbc:ChargeIndicator>
  <cbc:Amount currencyID="EUR">15.00</cbc:Amount>
  <cac:TaxCategory>
    <cbc:ID>O</cbc:ID>
    <cac:TaxScheme><cbc:ID>VAT</cbc:ID></cac:TaxScheme>
  </cac:TaxCategory>
</cac:AllowanceCharge>

Invalid XML

<cac:AllowanceCharge>
  <cbc:ChargeIndicator>true</cbc:ChargeIndicator>
  <cbc:Amount currencyID="EUR">15.00</cbc:Amount>
  <cac:TaxCategory>
    <cbc:ID>O</cbc:ID>
    <cbc:Percent>0</cbc:Percent>
    <cac:TaxScheme><cbc:ID>VAT</cbc:ID></cac:TaxScheme>
  </cac:TaxCategory>
</cac:AllowanceCharge>