Reference

BR-S-10 Standard-rated VAT breakdown must not carry an exemption reason

A VAT breakdown (BG-23) with VAT category code (BT-118) "Standard rated" shall not have a VAT exemption reason code (BT-121) or VAT exemption reason text (BT-120).

Problem Description

A VAT breakdown (BG-23) with VAT category code (BT-118) "Standard rated" shall not have a VAT exemption reason code (BT-121) or VAT exemption reason text (BT-120).

ERROR

XRechnung 3.0

Context and Significance

This EN16931 rule prevents a standard-rated (category S) breakdown from carrying an exemption reason, which would contradict the fact that VAT is being charged.

Remove cbc:TaxExemptionReasonCode (BT-121) and cbc:TaxExemptionReason (BT-120) from the standard-rated TaxCategory; an exemption reason only belongs to VAT-exempt categories (E, AE, K, G, O), not to standard-rated or zero-rated breakdowns.

Validate XML Convert invoice

Valid Examples

Use these points as the practical checks for this section.

BG-23 with BT-118 = S, BT-119 = 19 and no BT-120 or BT-121

Invalid Examples

Use these points as the practical checks for this section.

BG-23 with BT-118 = S but carrying BT-120 = "Exempt supply"

Code Examples

Valid XML

<cac:TaxSubtotal>
  <cbc:TaxableAmount currencyID="EUR">100.00</cbc:TaxableAmount>
  <cbc:TaxAmount currencyID="EUR">19.00</cbc:TaxAmount>
  <cac:TaxCategory><cbc:ID>S</cbc:ID><cbc:Percent>19</cbc:Percent></cac:TaxCategory>
</cac:TaxSubtotal>

Invalid XML

<cac:TaxSubtotal>
  <cbc:TaxableAmount currencyID="EUR">100.00</cbc:TaxableAmount>
  <cbc:TaxAmount currencyID="EUR">19.00</cbc:TaxAmount>
  <cac:TaxCategory>
    <cbc:ID>S</cbc:ID><cbc:Percent>19</cbc:Percent>
    <cbc:TaxExemptionReason>Exempt supply</cbc:TaxExemptionReason>
  </cac:TaxCategory>
</cac:TaxSubtotal>