If a Tax Total element uses the Not Subject to VAT Tax Category, it cannot contain any further Tax Total elements. Thus, the Not Subject to VAT (O) Tax Category is the only one that can be used at the Document and Line levels.

Party IDs

If a Document contains a line where the invoiced item's Tax Category Code is Not Subject to VAT, or an allowance or charge with the same Tax Category Code, then you must include the Supplier's Tax Registration ID and/or the their Tax Representative's ID.

If one of the following elements exists:

• Invoice/InvoiceLine/Item/ClassifiedTaxCategory/ID = O

or

• /Invoice/AllowanceCharge[ChargeIndicator='false']/TaxCategory/ID = O

or

• /Invoice/AllowanceCharge[ChargeIndicator='true']/TaxCategory/ID = O

Then the following elements are required:

• /Invoice/AccountingSupplierParty/Party/PartyTaxScheme/CompanyID

or

• /Invoice/TaxRepresentativeParty/Party/PartyTaxScheme/CompanyID

The Buyer's Tax Registration ID and the Buyer's legal entity should also be included:

• /Invoice/AccountingCustomerParty/Party/PartyTaxScheme/CompanyID
• /Invoice/AccountingCustomerParty/Party/PartyLegalEntity/CompanyID

The Document must NOT contain he Seller Tax Registration Identifier and/or the Seller Tax Representative Tax Registration Identifier. The following elements should not be included:

• Invoice/AccountingSupplierParty/cac:Party/cac:PartyTaxScheme/cbc:CompanyID
• Invoice/cac:TaxRepresentativeParty/cac:Party/cac:PartyTaxScheme/cbc:CompanyID
• Invoice/cac:AccountingCustomerParty/cac:Party/cac:PartyTaxScheme/cbc:CompanyID

Tax Rate

If a line uses the Not Subject to VAT Tax Category, the invoiced item's tax rate should not be included.

If Invoice/InvoiceLine/Item/ClassifiedTaxCategory/ID = O, then the Invoice/InvoiceLine/Item/ClassifiedTaxCategory/Percent) element should NOT be included.

If a Document-level allowance uses the Not Subject to VAT Tax Category, then the Document-level allowance should not contain the tax rate.

If Invoice/AllowanceCharge[ChargeIndicator='false']/TaxCategory/ID = O, then the Invoice/AllowanceCharge[ChargeIndicator='false']/TaxCategory/Percent element should not be used.

If a Document-level charge uses the Not Subject to VAT Tax Category, then the Document-level allowance should not contain the tax rate.

If Invoice/AllowanceCharge[ChargeIndicator='true']/TaxCategory/ID = O, then the Invoice/AllowanceCharge[ChargeIndicator='true']/TaxCategory/Percent element should not be used.

Tax Amount

If a Tax Total uses Not Subject to VAT as the Tax Category, the Tax Amount is zero.

If Invoice/cac:TaxTotal/cac:TaxSubtotal/cac:TaxCategory/cbc:ID = O, then Invoice/cac:TaxTotal/cac:TaxSubtotal/cbc:TaxAmount = 0.00.

Tax Exemption

A Tax Total that uses the Not subject to VAT Tax Category, must have a Tax Exemption Reason Code that mentions something like Not subject to VAT or some text to explain the exemption.

If Invoice/cac:TaxTotal/cac:TaxSubtotal/cac:TaxCategory/cbc:ID = O, then you must include one of the following:

• Invoice/cac:TaxTotal/cac:TaxSubtotal/cac:TaxCategory/cbc:TaxExemptionReasonCode = VATEX-EU-O

or

• Invoice/cac:TaxTotal/cac:TaxSubtotal/cac:TaxCategory/cbc:TaxExemptionReason = Not subject to VAT

Example

The following example with shows the Not Subject to VAT Tax Category on the line level:

<Invoice>
    <!-- code omitted for clarity -->
    <cac:AccountingSupplierParty>
        <cac:Party>
            <!-- no SellerTax Registration -->
            <cac:PartyLegalEntity>  
                <cbc:RegistrationName>Seller Official Name Ltd.</cbc:RegistrationName>  
                <!-- Seller Legal Registration Identifier -->
                <cbc:CompanyID>EE12345600</cbc:CompanyID>  
            </cac:PartyLegalEntity>
            <!-- code omitted for clarity -->
        </cac:Party>
    </cac:AccountingSupplierParty>
    <cac:AccountingCustomerParty>
        <cac:Party>
            <!-- no Buyer Tax Registration -->
            <cac:PartyLegalEntity>  
                <cbc:RegistrationName>Buyer Official Name Ltd.</cbc:RegistrationName>  
                <!-- Buyer Legal Registration Identifier -->
                <cbc:CompanyID>EE22377633</cbc:CompanyID>  
            </cac:PartyLegalEntity>
            <!-- code omitted for clarity -->
        </cac:Party>
    </cac:AccountingCustomerParty>
    <!-- code omitted for clarity -->
    <cac:TaxTotal>
        <cbc:TaxAmount currencyID="EUR">0.00</cbc:TaxAmount>
        <cac:TaxSubtotal>
            <cbc:TaxableAmount currencyID="EUR">1325</cbc:TaxableAmount>
            <cbc:TaxAmount currencyID="EUR">0.00</cbc:TaxAmount>
            <cac:TaxCategory>
                <!-- Tax Category Code -->
                <cbc:ID>O</cbc:ID>
                <cbc:TaxExemptionReasonCode>VATEX-EU-O</cbc:TaxExemptionReasonCode>
                  <cbc:TaxExemptionReason>Not subject to VAT</cbc:TaxExemptionReason>              
                <cac:TaxScheme>
                    <cbc:ID>VAT</cbc:ID>
                </cac:TaxScheme>
            </cac:TaxCategory>
        </cac:TaxSubtotal>
    </cac:TaxTotal>
    <!-- code omitted for clarity -->
    <cac:InvoiceLine>
        <!-- code omitted for clarity -->
        <cac:Item> 
            <cac:ClassifiedTaxCategory>
                <!-- Tax Category Code -->
                <cbc:ID>O</cbc:ID>
                <cac:TaxScheme>
                    <cbc:ID>VAT</cbc:ID>
                </cac:TaxScheme>
            </cac:ClassifiedTaxCategory>
        </cac:Item> 
        <!-- code omitted for clarity -->
    </cac:InvoiceLine>
    <!-- code omitted for clarity -->
</Invoice>