You must include a reason code for the exemption and a matching tax category code.

Elements

Element	Description
`/Invoice/TaxTotal/TaxSubtotal/TaxCategory/ID`	Specify the Tax Category Code.
`/Invoice/TaxTotal/TaxSubtotal/TaxCategory/TaxExemptionReasonCode`	Specify the Tax Exemption Reason Code.

Restrictions

You must use one of the following tax exemption reason codes and the associated tax category code.

The Tax Exemption Reason Codes are a subset of the VATEX codes here which are part of PEPPOL BIS 3.0.

The Tax Category Code is a a subset of the UNCL5305 set here.

Tax Exemption Reason Code	Tax Category Code
VATEX-EU-G	G
VATEX-EU-O	O
VATEX-EU-IC	IC
VATEX-EU-AE	AE
VATEX-EU-D	E
VATEX-EU-F	E
VATEX-EU-I	E
VATEX-EU-J	E

Example

The following example specifies a Tax Category Code of E and a Tax Exemption Reason Code of VATEX-EU-F:

<Invoice>
    <!-- code omitted for clarity -->
    <cac:TaxTotal>
        <cbc:TaxAmount currencyID="EUR">0.00</cbc:TaxAmount>
        <cac:TaxSubtotal>
            <cbc:TaxableAmount currencyID="EUR">1200.00</cbc:TaxableAmount>
            <cbc:TaxAmount currencyID="EUR">0.00</cbc:TaxAmount>
            <cac:TaxCategory>
                <cbc:ID>E</cbc:ID>
                <cbc:Percent>0.00</cbc:Percent>
                <cbc:TaxExemptionReasonCode>VATEX-EU-F</cbc:TaxExemptionReasonCode>
                <cac:TaxScheme>
                    <cbc:ID>VAT</cbc:ID>
                </cac:TaxScheme>
            </cac:TaxCategory>
        </cac:TaxSubtotal>  
    </cac:TaxTotal>
    <!-- code omitted for clarity -->
<Invoice>