This guide describes how to define, activate for customers, and manage EU-standard compliant e-invoices in Netvisor. Additionally, it addresses the most common errors and their correction in the sending of e-invoices.
CONTENTS
- How the tax code for an e-invoice is formed on a sales invoice
- Good to know
- EU-standard compliant e-invoice remains in error
The State Treasury and some individual other domestic and foreign entities may require e-invoices to be EU-standard compliant. Such e-invoices contain more detailed data fields than normal invoicing. These details are not displayed in the invoice view or printout, but the information is transmitted in the e-invoice message according to the EU standard.
Finvoice 3.0 and EU-Standard compliant supported fields:
- QuantityUnitCodeUN always C62
- CountryCode for delivery address
- InvoiceTypeCodeUN 380/381
- Credit invoice information OriginalInvoiceNumber + OriginalInvoiceDate
- RowsTotalVatExcludedAmount
- BuyerReferenceIdentifier
- VatCode
- VatFreeText (for tax codes AE, E, G, K, O)
- InvoicedQuantity
- UnitPriceNetAmount
- RowPositionIdentifier
- SubRowPositionIdentifier
- EpiPaymentMeansCode always 58
In Netvisor, the data fields for EU-standard compliant e-invoicing can be easily activated to be visible for specific customers. The activation of the setting for desired customers is done from the customer card, under the Edit Basic Information tab.
Customers can also be set en masse under this setting through the Customer Listing (Customer Listing Functions > Edit Customer Information > EU-standard compliant e-invoice).
When an EU-standard compliant e-invoice is set, the tax codes for e-invoicing are sent along with the e-invoice material to the respective customer, which are managed under Sales > Invoicing Settings > E-invoicing Tax Codes. (if the tax handling is The tax codes are pre-filled according to the instructions received from the State Treasury, but the information can be changed if necessary. The pre-filling is done to ensure that the document entries in EU-standard compliant invoices are as automatic as possible. It should be noted that these settings only affect the invoices of those customers for whom "EU-standard compliant e-invoice" has been selected.
If the customer has selected the EU-Standard compliant e-invoice, this also affects the e-invoice address of the customer's locations and uses this selection.
How the tax code for an e-invoice is formed on a sales invoice
The tax code formed on the e-invoice message is derived from the following sections on the sales invoice
- Based on the default accounts set behind the product (or based on the account proposal set on the sales invoice line)
- From the VAT identifier set behind the accounting account
- From the e-invoicing tax code set in the invoicing settings
(Products > Product Listing > Click on the product name > Manage Information > Accounting Information)
- The country code of the invoiced customer determines which account is used for the product at any given time.
The VAT identifier set behind the accounting account can be found under VAT Identifier (Financial Management > Account List > find the correct account > open the account for editing with the “xx” button:
E-invoicing tax codes can be found under Sales > Invoicing Settings > E-invoicing Tax Codes
For example, with the settings shown in the images above, the VAT identifier KOMY (Domestic Sales) is formed on the e-invoice message, and the e-invoice tax code is formed as S - Normal tax rate.
Good to know
- It is good to note that if the customer has selected an EU e-invoice standard compliant invoice, consolidated invoices cannot be sent to that customer
- If invoicing VAT 0%, the VAT identifier must be KOMY 0% - Domestic tax-free sales (see detailed instructions on the formation of the tax code above)
- Conflicting information causes the e-invoice to be rejected, e.g., invoiced VAT 0% and used VAT identifier KOMY
- If it is not reasonable to change the accounting account behind the product or the VAT identifier behind the accounting account set for the product, this can be overridden on the sales invoice using the Account Proposal section found on the sales invoice lines
Conflicting information on the sales invoice causes the rejection of the sending of EU-standard compliant e-invoices. Below are examples of the most common errors:
Example 1: The sales invoice has VAT 0% domestic sales. In this case, the VAT code in the product's accounting account or the account selected in the invoice line account proposal must be KOMY 0%.
If the VAT code is KOMY, the invoice remains in error because KOMY's default "S (normal tax rate)" does not allow a VAT value of 0%. To correct the situation, first correct the product's default accounting account and then update the sales invoice lines. Alternatively, the account can be corrected on the sales invoice line in the "Account Proposal" section. This must be done before resending the invoice.
Example 2: The default accounting account for EU sales products on the sales invoice has been selected as an account whose VAT code is domestic sales, although it should be foreign sales. Therefore, the VAT identifier KOMY also appears on the document. In the Sales > Invoicing Settings > E-invoicing Tax Codes section, it is selected that KOMY = S Normal tax rate. The situation is corrected in the same way as in example 1.
Example 3: The sales invoice has both taxable and tax-free sales. From 4.2.2022 onwards, the same invoice can have both taxable and tax-free sales. The tax code for tax-free sales must use code Z.
If the e-invoice does not need to be EU-standard compliant, you can remove the check from the customer's information under Edit Basic Information > EU-standard compliant e-invoice. After this, the sales invoice can be resent as an e-invoice without the corrections mentioned above.
Keywords: EU-standard compliant e-invoice, e-invoicing settings, tax codes, customer card, sales invoice, VAT identifiers
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