Thursday, 27 November 2014

Simplified invoices, forget about tickets



Although the new concept of simplified invoice, has nearly 2 years (since January 2013, which took effect), there are still questions about what they are and when to use them.

What is it? Current law sets aside the figure of the old tickets and invoices simplified situate them halfway between the bills we already know and the tickets, the content on simplified invoices is wider than the tickets but lower than the ordinary invoices.

Currently, to deduct VAT is necessary to have a bill in which the recipient is identified, which should translate who performs the operation, what means that to deduce the expenses the simplified invoice is not enough been necessary to get a full VAT invoice.

What should introduce simplified bill? It is not necessary to include in simplified invoices all the information specified in full invoice. You should include: the invoice number, date of issue, date of operation or tax point (only if different from the date of issue), NIF and full name of the person who issued a description of the service, the tax rate and total amount.

In this type of bills do not need to enter the fiscal number of the recipient, or the VAT to be charged, and therefore does not give the right to deduct VAT, unless the recipient is a trader or a professional. In the latter case, the simplified invoice must contain the NIF and percentage of VAT to be charged, and shall be entitled to deduct input VAT.

When a simplified invoice is issued? The Law authorizes the issuance of these simplified invoices in a number of cases:

- Invoices not exceed 400 euros, including VAT
- Corrective bills
- In operations which traditionally the law allows the invoices replacement for tickets as long as 3,000 euros (including VAT) are not exceeded.
- In other cases authorized by the Tax Office (Retail Sales, Sales or consumer home services, toll roads, parking of vehicles ...)
Companies can no longer issue tickets, should issue simplified invoices but do not forget that if you are a professional or have a company and want to deduct the expenses you need a full invoice, is not sufficient to have a simplified invoice.
For further details do not hesitate in contact VP Advisers

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