Federal Ministry Of Finance Announces New Billing Information
The mandatory information in the invoice has been extended by the Official Assistance Directive Implementation Act with the invoice details “Credit note”. The Federal Ministry of Finance expresses itself in writing to the various regulations, in particular also to the “credit” as follows:
If the parties involved in the exchange of services agree that the service recipient settles on the turnover, the invoice must contain the entry “credit note”. In addition, the recognition of wording used in other official languages for the term “credit” in the respective language version (eg “self-billing”) may be considered. The use of other terms does not comply with the Value Added Tax Act. However, the tax authorities do not want to withhold input tax deduction on grounds of conceptual blurring only if the name chosen is sufficiently clear (eg self-billing), otherwise the credit note was duly issued and there is no doubt as to their accuracy.
The cancellation or correction of the original invoice as a credit note (so-called commercial credit note), which is generally used, is not a credit note in the sense of VAT. If the term “credit note” is used in such a document, even though there is no credit in the sense of VAT law, this will continue to be irrelevant for VAT purposes.
If a document is invoiced both for received services (credit memo) and for services rendered (invoice), the document must contain the invoice information “credit memo”. In addition, it must be clear from the document about which service is billed as a service recipient or a paying entrepreneur. Netting and billing of the mutual services are not permitted in the document.
Date of the invoice
According to the provisions of the VAT Act, an invoice must be issued within 6 months of the performance of the invoice, provided that there is an obligation to issue the invoice. If the trader carries out an “intra-Community delivery”, he is obliged to issue an invoice no later than the 15th day of the month following the month in which the delivery was carried out. The same period shall apply if the trader performs any other service in another Member State for which the beneficiary owes the tax.