- See also Vouchers: invoices in European unions legally determined by EU VAT directives as accounting vouchers (to verify tax and VAT reporting) and secondly as Civil Law (common law) documents.
The invoice , bill or tab tag is a commercial document issued by the seller to the buyer, associated with the sale transaction and shows the product, the quantity, and approves the price for products or services that the seller provides to the buyer.
Payment terms are usually listed on invoices. This may specify that the buyer has the maximum number of days to pay and is sometimes offered a discount if paid before the due date. The buyer may already be paying for the product or service listed on the invoice.
In the rental industry, an invoice must include a specific reference for the timeframe being charged. So in addition to quantity, price, and discount, the invoice amount is also based on the duration. Generally, each line of rental invoice will refer to the actual hour, day, week, month, etc., Be billed.
From the seller's point of view, the invoice is sales invoice . From the buyer's point of view, the invoice is a purchase invoice . The document shows buyers and sellers, but the term invoice indicates that the money owes or owes.
Video Invoice
Invoice
A special invoice can contain:
- The word invoice (or tax invoice );
- Unique reference number (in terms of correspondence about invoices);
- Date invoice;
- Credit terms;
- Payment of taxes, where relevant (e.g., GST or VAT);
- The name and contact details of the seller;
- Details of tax or sales company registration, if relevant eg. ABN for Australian businesses or VAT numbers for businesses in the EU;
- Buyer's name and contact details;
- Date when goods or services are sent or shipped;
- The purchase order number (or similar tracking number that the buyer requested to mention on the invoice);
- Product description (s);
- Product unit price, if relevant;
- Total cost amount (optionally with tax sharing, where relevant);
- Payment terms (including payment methods, payment dates, and details about fees for late payments);
In countries where wire transfers are the preferred method of paying off debt, the printed bill will contain the creditor bank account number and usually the reference code that will be forwarded along the transaction that identifies the payer.
The US Defense Logistics Agency requires an identification number of the employer on the invoice.
The EU requires a VAT identification number (value added tax).
In Canada, the registration number for GST needs to be completed for all inventories in excess of $ 30 made by registered suppliers to claim the input tax credit.
Recommendations on invoices used in international trade are also provided by the UNECE Trade Committee, which involves a more detailed description of the merchandise logistics aspects and hence may be convenient to international logistic and customs duties.
European Union
EU PPAT union invoice definition
Within the EU value-added tax rules, section 226 is a brief definition of invoices in trade union member states.
Without prejudice to the specific provisions set forth in this Directive, only the following details are necessary for the purposes of VAT on invoices issued pursuant to Articles 220 and 221:
- (1) the date of issue;
- (2) serial number, based on one or more series, that uniquely identifies the invoice;
- (3) the VAT identification number as referred to in Article 214 where the taxable person supplies the goods or services;
- (4) customer's VAT identification number, as referred to in Article 214, where the customer receives the supply of goods or services to which he is liable for the payment of VAT, or receives the supply of goods referred to in Article 138;
- (5) the taxpayer's and customer's full name and address;
- (6) the quantity and nature of the goods provided or the level and nature of the services provided; (7) the date on which the inventory of goods or services is made or completed or the date of payment of the account referred to in points (4) and (5) of Article 220 is made, to the extent that such date may be determined and different from the date of issue of invoice; (7a) where VAT becomes imposed upon receipt of payment in accordance with Article 66 (b) and the right of deduction arises at the time the deductible tax becomes charged, the mention of 'cash accounting';
- (8) the taxable amount per tariff or waiver, the exclusive VAT unit price and discount or rebate if not included in the unit price;
- (9) the VAT rate applied;
- (10) the amount of VAT to be paid, unless any special arrangements are applied, in accordance with this Directive, such details are exempted;
- (10a) where the customer receiving the supply issues an invoice (not a supplier) stating 'self-billing';
- (11) in the case of an exception, referring to the applicable provisions of this Directive, or any relevant national provisions, or other reference indicating that the supply of goods or services is exempted;
- (11a) where the customer is responsible for the payment of VAT, the mention of 'chargeback';
- (12) in the case of the provision of new means of transportation made in accordance with the conditions specified in Articles 138 (1) and (2) (a), the characteristics as identified in point (b) of Article 2 (2);
- (13) where the margin scheme for a travel agent is applied, the mentioning margin scheme - a travel agent;
- (14) where one of the special arrangements that apply to used goods, artwork, collecting goods and antiques is applied, the scheme of margin of mention - used goods'; 'margin scheme - artwork' or 'scheme of margin - items of collectors and antiques' respectively;
- (15) where the person responsible for the payment of VAT is a tax representative for the purposes of Article 204, (VAT identification number, as referred to in Article 214, of the tax representative, together with his full name and address.
EU union union VAT NUMBER (simple invoice) definition
Within the EU value-added tax law, section 226b is a short definition of acceptance in union member countries.
In connection with the simplified invoice issued in accordance with Article 220a and Articles 221 (1) and (2), Member States shall at least require the following details:
- (a) the date of issue;
- (b) the identification of a taxable person who supplies goods or services (VAT identification number);
- (c) identification of the type of goods or services provided;
- (d) the amount of VAT owed or the information required to calculate it;
- (e) where the invoice issued is a document or message treated as an invoice in accordance with Article 219, specific and unambiguous references to the original invoice and the specific details being amended.
They may not require details about invoices other than those mentioned in Articles 226, 227 and 230.
The Australian Tax Office Tax Definition
Details about the provisions of the Australian Tax Office (ATO) for tax invoices can be found on their website.
For all GST destinations, the seller must issue a tax invoice to the buyer regardless of the sale in cash or credit. Therefore, tax invoices in Australia serve as invoices and receipts in the conventional sense. The words 'paid' or 'debt' will distinguish meaning. The tax invoice must contain seven facts according to the GST Tax Law.
Maps Invoice
Variations
Some invoices are no longer paper-based, but are sent electronically over the Internet. It's still common for electronic money transfers or invoices to be printed to keep paper records. The standards for electronic invoices vary greatly from country to country. Electronic Data Interchange (EDI) standards such as the UN EDIFACT standard include message encoding guidelines for electronic invoices. EDIFACT is followed up in cross-industry syntax ebtex UN/CEFACT.
EDIFACT
The UN standard for electronic invoices ("INVOIC") includes the standard code for transmitting header information (common to all invoices) and codes for submitting details for each line item (product or service). The "INVOIC" standard can also be used to submit credit and debit memos. The standard "IFTMCS" is used to send shipping invoices.
In the EU law passed in 2010 in the form of the 2010/45/EU directives to facilitate the growth of Electronic Invoices in all member states. This Act serves the various EU and inter-state tax billing requirements in the European Union, in addition to legislation for the authenticity and integrity of electronically sent invoices. It is estimated that in 2011 alone about 5 million EU businesses will send Electronic Invoices.
Open Application Group Integration Specs (OAGIS) from OAGi
The XML message format for electronic invoices has been used since the beginning of XML in 1998. The Open Application Group Integration Specification (OAGIS) has incorporated invoices since 2001. OAGi (Open Applications Group) has a working relationship with UN/CEFACT in which OAGi and its members participate in defines many specifications of Technology and Methodology. OAGi also includes support for this Technology and Methodology specification within OAGIS.
UBL
The XML message format for electronic invoices has been used in recent years. There are two standards currently being developed. One is a cross-industry invoice being developed by a UN-standard UN/CEFACT agency and the other is UBL (Universal Business Language) issued by OASIS (Organization for the Advancement of Structured Information Standards). Implementation of invoices under UBL is common, the most important in the public sector in Denmark because it is the first country in which UBL is mandated by law for all public sector invoices. Further implementation is underway in Scandinavian countries as a result of the NES project (North European Subset). Implementation is also carried out in Italy, Spain, the Netherlands (UBL 2.0) and with the European Commission itself.
The NES work has been transferred to the CEN (European Committee for Standardization), (the European Union standards body) CEN/BII workshop, for public procurement in Europe. The result of the work is a pre-condition for PEPPOL, a European pan pilot for public procurement, financed by the European Commission. UBL procurement documents will be implemented in cross-border pilots between European countries.
Agreements have been made between UBL and UN/CEFACT for the convergence of two XML message standards with the aim of combining two standards into one before the end of 2009 including the provision of an updating path for implementation that begins with good standards.
ISDOC
ISDOC is a standard developed in the Czech Republic as a universal format for electronic invoicing. On October 16, 2008, 14 Czech companies and governments signed a declaration to use this format within a year in their products.
Payments
Organizations that purchase goods and services usually have a process in place to approve invoice payments based on employee confirmation that the goods or services have been received.
Typically, when paying for invoices, money transfer advice will be sent to the supplier to let them know that their invoice has been paid.
Standardization
Invoice is different from receipt. Both invoices and receipts are ways of tracking the purchase of goods and services. In general, the contents of an invoice can be similar to a receipt including tracking sales amounts, calculating sales tax payable, and calculating any discounts applied to purchases. Invoices are different from receipts on invoices that serve to notify customers of an outstanding payment, while a receipt serves as a completed payment proof.
Financial invoice
An effective financial invoice is a credit line for a business that is secured on a business invoice portfolio.
There are several benefits in terms of choosing invoice financing for your business:
- Lower cost
- Flexibility
- Confidentiality
See also
- Australian Business Number
- Bill of lading
- Cash collection
- Commercial invoices
- Automation of documents
- Ending
- List of financial topics
- Order (business)
- Order fulfillment
- Receipt
- Category: Financial regulation
References
External links
- COUNCIL DESIGN 2006/112/EC dated November 28, 2006 regarding the general system of value added tax (revised version of July 1, 2013)
Source of the article : Wikipedia
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