VAT identification number as an invoice component

VAT identification number as an invoice component

Directive 2001/115/EC of 20 December 2001 requires the identification number of a taxable person (UID number) to be shown on invoices. This provision had to be transposed into national law by 1 January 2004. Austria was prompt and incorporated this regulation into the second tax amendment act 2002 (zweites Abgabenänderungsgesetz 2002) as follows:

Transfer of tax liability to the recipient of the service
In addition to the transactions hitherto subject to the reverse charge system (other services pursuant to Section 3a (10) of the German Value Added Tax Act (UStG) in the case of foreign transactions pursuant to Section 19 (1) of the UStG), from 1 October 2002 gem. § 19 Abs. 1a UStG also domestic construction services added. (cf. Client Information August 2002 page 4)
– In accordance with Section 11(1a) of the German Value Added Tax Act (UStG), the invoice must include the Unique identifier number (UID) of the main contractor receiving benefits to be listed. These entrepreneurs are listed in a decree from the BMF of 13 September 2002.
– The invoice also refers to the Transfer of tax liability to point to the recipient of the service. In this case, the performing contractor (subcontractor) must not show any VAT separately. VAT shown in spite of this by the issuer of the invoice does not entitle the recipient of the invoice to deduct input tax.
– In the advance VAT return, the VAT payable under Section 19(1a) of the German VAT Act (UStG) is offset against the input tax to be claimed, thereby ensuring VAT neutrality for businesses.

:: Other invoices
In accordance with Section 11 (1) no. 6 of the Austrian Value Added Tax Act (UStG), from 1 January 2003 in all cases where the recipient of the invoice is entitled to deduct input tax, additionally the The contractor's UID number, the Invoice serial number, the Exhibition date, the Tax rate or to indicate any potential tax exemption.

UID number allocation
In accordance with Section 28(1) of the Value Added Tax Act (UStG) – – as stated in the Federal Ministry of Finance’s press release – at the end of November, all businesses with a U1 or U3 code were automatically assigned a UID number to enable them to comply with the new requirement. Businesses with a U0 code will receive their UID number upon application. This includes legal entities that are not businesses but require a UID number for intra-Community supplies or acquisitions, as well as affiliated companies.

:: Legal consequences and MIAS – Self-assessment („Level 1“)
invoice UID number not provided, has this Loss of input tax deduction Following. This innovation therefore already presents increased requirements in the construction industry from 1 October 2002 and in general accounting from 1 January 2003. Finally, it should be noted that according to RZ 4352a VAT guidelines, VAT registration confirmation is also possible for all taxpayers via the internet (www.europa.eu.int) and can be queried not only by Finanz-Online participants.

Further invoice item
werden Rechnungsvordrucke neu gedruckt, sollte auch die internationale Kontonummer IBAN and Ballpoint pen for cross-border payments in EURO. The allocation is made by the principal bank (cf. Client Information June and July 2002).