It is of upmost importance to adhere to these valid tax invoice requirements. We found that the South African Revenue Services (SARS) became very strict when they review or audit a Value added tax (VAT) period.
ALL of these requirements are extremely important for your invoice to clients and from suppliers:
- The words "Tax Invoice " must be shown with your VAT registration number.
- Invoice to a client (your debtor) ... The registered name, address and VAT number of the supplier
- Invoice from supplier (your creditor) ... your registered name, address and VAT number of the must be shown on the invoice
- A serialised number and the date of issue
- Detailed description of the goods or services
- The quantity of the supply
- The exclusive value, the VAT and the total inclusive amount need to be displayed.
This is applicable to taxable supplies made of more than R3,000. The invoice should be made out in Rand.
Before I process a payment I ensure that I do have a valid tax invoice. If not ... the supplier need to provide me with one before any payments will be done.