If a company has a situation where part of the invoice is sent, for example, to an insurance company and a VAT-free amount is sent there, and only the VAT portion of the invoice is sent to the customer, the following steps can be taken.
For the insurance company or wherever the VAT-free invoice is sent, set the customer's tax treatment to "No VAT treatment." This way, no VAT entry is created from the invoice, and no information is sent to the tax authorities, and the VAT code will be - No VAT treatment.
Create an invoice for the customer (insurance company or equivalent) with the VAT-free amount and send it forward through the desired channel.
Create a separate product for this, e.g., Insurance company's share, and assign it the desired accounting account, where the VAT code is - No VAT treatment.
Then create an invoice for the end customer with 2 lines. The first line is the total invoice amount including VAT, e.g., 25.5% domestic sales, and this is the product being sold.
Then add a negative line to the invoice, quantity -1, and its name can be, for example, the insurance company's share, i.e., the amount that was VAT-free.
This way, the customer will only be charged the VAT amount from the invoice.
An invoice has been sent to the customer with incorrect VAT or other incorrect information.
If a sales invoice has already been sent to the customer with the wrong VAT % or if VAT was completely omitted, the instruction is to create a credit invoice. Then agree with the customer whether this credit invoice will also be sent to them or not. If not sent, it is printed locally.
After this, the credit invoice is matched to the original incorrect invoice, and then a completely new invoice is created with the correct information. You can include text in the field before the invoice lines, for example, stating that this replaces the previously sent invoice.
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