VAT invoicing
Produced in partnership with Pinsent Masons
VAT invoicing

The following Tax guidance note Produced in partnership with Pinsent Masons provides comprehensive and up to date legal information covering:

  • VAT invoicing
  • When a VAT invoice must be provided
  • Contents of a VAT invoice
  • Contents of a VAT invoice supplied to a person in another member state
  • Timing
  • Self-billed invoices
  • Simplified invoices
  • Electronic invoicing

A VAT invoice must normally be provided when a VAT registered person supplies goods or services to another VAT registered person. A VAT invoice is a document containing certain information about the supply.

VAT invoices are important, not only for administrative and record-keeping purposes, but because they can affect the amount and timing of VAT payments. In particular:

  1. issuing a VAT invoice can create a tax point under the VAT time of supply rules (triggering liability to account for output tax)—for more details, see Practice Note: VAT time of supply rules—when is a supply made?

  2. the recipient of a supply will need a VAT invoice in order to reclaim input tax. For more information on VAT recovery, see Practice Note: When can a person recover VAT?

This Practice Note describes the basic rules on VAT invoices, including:

  1. the circumstances in which a VAT invoice must be provided

  2. the contents of a VAT invoice

  3. self billing

  4. special rules applying to retailers, and

  5. electronic invoicing

When a VAT invoice must be provided

A VAT invoice must be provided when a VAT registered person (see Practice Note: Who must and who can register for VAT in the UK?):

  1. makes a taxable supply (ie a supply that is not exempt) of goods or services in the UK to a taxable person (ie a person