VAT Invoice Compliance Checklist
Is my Invoice VAT Compliant? What do I need to Check?
Last week we answered your frequently asked questions on VAT. An area that wasn’t covered in that post was questions regarding your company’s invoicing. One of the biggest mistakes made when a company is sorting its VAT reclaim on their T&E expenses is incorrect invoices. Having correct invoices and other relevant documentation used in VAT reclaim processes is vital. It could make the difference in the amount you get back and how quick you can reclaim.
Here’s some points you need to consider to ensure that you’re invoices are fully compliant for VAT Reclaim.
1. Missing details
This happens more than you would think. An employee has travelled abroad, and is collecting invoices for their travel expenses. And low and behold, the invoice is made out in the employee’s name! It can also happen that if it is made out to the company, the company name is misspelled, abbreviated, or even the address is incorrect. This makes it difficult for companies like Taxback International to aid in your VAT reclaim opportunities! You must ensure that the invoice is made out to the company and that the full company name and address is present.
2. Providing incorrect documents – VAT is not clearly stated
When providing documentation in order to reclaim your VAT, it’s vital that there is VAT present to reclaim! Ensure that invoices provided clearly state VAT, otherwise there’s no way to know if is charged. Also, documents such as credit card slips are not valid to be used for VAT reclaim.
3. Scanning invoices
Scanning invoices to be sent to your company or to VAT reclaim specialists such as Taxback International can lead to mistakes. It is important that invoices are scanned as clear as possible, are fully legible and comply with this checklist.