InvoiceGlass

Exemption reason given although VAT is charged (standard rate) · BR-S-10

  • Severity · Error
  • Applies to · UBL / CII
  • Editorial review pending

For the category standard rated (category S), the VAT breakdown (BG-23) must not contain an exemption reason – neither as a code (BT-121) nor as text (BT-120). An exemption reason belongs only to categories where no VAT is charged (E, AE, G, K or O). If one is given anyway, the invoice is not valid.

As of

Who can correct it?

The sender can correct the invoice.

How to fix it

  1. Ask the sender for a corrected invoice without an exemption reason for this category.
  2. If you issued the invoice yourself: remove the exemption reason from standard rate entries, or check whether an exempt category was actually intended.

Rule text and source

Paraphrase · The VAT breakdown for category S (standard-rated VAT) must omit both the exemption reason text and its code.

Message to the sender

Subject: Invoice {invoiceNumber} – exemption reason does not match VAT category

Hello,

Thank you for your invoice {invoiceNumber} dated {issueDate}. The VAT breakdown gives a VAT exemption reason for the standard rate category (rule BR-S-10). No exemption reason may be stated for this category. Could you please check which category applies and send us a corrected invoice?

Kind regards

Example

The category S breakdown mistakenly copies an exemption reason code from a template. The tax treatment is confirmed. The correction omits the code.

Related rules

Business terms

BG-23

Rule versions

CEN · EN 16931 (KoSIT) 1.3.16

CEN · EN 16931 1.3.17

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