VAT
- Invoicing
Invoices
Invoices or equivalent
documents must be issued until the 5th working day
subsequent to the moment when the tax is due (delivery
of goods or completion of the service rendered).
In case of payments related to the
handing down of goods or services rendered that has not
been made yet (advances), the date of issue of the
confirming document (Receipt or VAT settlement) shall
always coincide with the collection of such amount.
Invoices or equivalent documents must
be sequentially dated and numbered and
must contain the following elements:
a) The names, firms or social
denominations and the head Office or the domicile of
the product supplier or service provider and of the
addressee or purchaser, as well as their
corresponding taxpayer numbers;
b) The quantity and usual
designation of the goods or services, specifying the
applicable tax; General descriptions (example:
services rendered, cleaning products, stationery)
are not accepted;
c) The price, net of tax, and
the other elements included in the taxable value;
d) The applicable rates and the
amount of tax (VAT) due;
e) The reason for not charging
VAT, if it is the case.
f) The date in which the
products were put at the purchaser’s disposal, in
which the services were provided or the date in
which payments were made before the completion of
the transactions, if such date does not coincide
with the date of issue of the invoice.
If the transaction or transactions to
which the invoice concerns include goods or services
subject to different VAT rates, the elements mentioned
in b), c) and d) have to appear separately, according to
the applicable rate.
Invoices must be made in duplicate,
the original meant for the customer and the copy for the
supplier’s records.
The
appropriateness of rules for locating services, with the
Community rules for the purposes of
article 6 of VAT Code, were clarified by
Circular Letter nr. 30015, of 29/12/2009, issued by VAT
Services Directorate, with effect 01/01/2010.
Article 36 CIVA
Invoices: Requirements
Pursuant to
nr. 5 of article 36th of the VAT Code,
the “quantity and the usual name of the goods to be sold
and the elements that enable to calculate the applicable
tax rate” must appear and be specified in the
invoices”, that is to say, those must identify correctly
the goods that are to be sold.
1. General descriptions, such as, “Toys”,
“Cleaning products”, or similar, are not acceptable nor
is the description “sundries”.
1.1. When referring to boxes or volumes
related to goods whose units or other measures are not
specified, they shall be considered as incorrectly
described.
1.2. The invoicing of services provided
must always quantify and specify the operations, and the
expression “services provided” is just not acceptable.
1.3. Invoices issued with the aforesaid
deficiencies shall imply the penalization of the issuing
entity as well as the one who possesses such invoices,
since the acquirer have deducted the tax based on
documents issued without any legal form.
2. The invoices left in blank (not used)
must be cancelled at the end of each numerical sequence,
and such straight after starting to issue invoices with
another numbering.
3. Doubts were raised regarding the
correct definition of the documents that must be
considered as invoices and as to comply with the VAT
Code.
3.1. The delivery notes can never be
considered as documents equivalent to invoices, even if
the VAT is there mentioned, not giving the right or
obligation to pay the tax but requiring the subsequent
issue of an invoice.
3.2. The receipts model 6 (green
receipt), which
article
115th of the IRS Code refers to, are
considered as invoices, as well as any other type of
receipt, provided that an invoice is not issued
regarding the same operation.
3.3. The official account form submitted
by the Clearing-Agents to their clients is also
considered as an invoice.
4. It was verified that many taxable
persons deduct the VAT related to private expenses of
company’s partners, owners or workers. Those expenses
appear in the invoices issued in the name of the company
itself, which, of course, is not allowed and shall imply
the payment of the tax and imposition of penalties.
Oficio–Circulado nr 181044, of 06/12/1991 SIVA -
Oficio–Circulado nr
30072/2004, de 28/06 DSIVA
Credit Notes
Credit Notes
(eventually
submitted by means of notices of return) must contain,
apart from the date, the elements referred in paragraphs
a) and b) of the rules related to invoices, as well as
the invoice to which they refer.
The duplicate of the Credit Note,
whenever VAT adjustment is applied, must be signed and
stamped by the receiver (Customer).
Invoices from Foreign
Countries
When a service provider,
non-resident in
Portugal
, issues
invoices, the elements above mentioned (Identification:
Name, address and Taxpayer number/VAT registration) must
also appear in the document.
In order to verify the
validity of the VAT registration number of the European
firms, please consult
Interchange System for information
related to VAT (VIES)
in the Internet;
Furthermore, as far as the services
rendered are concerned, it is necessary that such
supplier, European or resident in a country with which
Portugal has made an Agreement for the Avoidance of
Double Taxation, submits to the paying entity
(Portuguese firm, the Customer), a
Certificate of
Tax Residence of the form 21-RFI
issued by the Tax Authorities of the supplier’s country
(as long as there is
Convention for the Avoidance of Economical
Double Taxation).
Consult information related to
Withholding Tax
– Services acquired in a Foreign Country
Invoices issued by
Restaurants and Bars - Ofício-Circulado 30085/2005,
23/12
Model of Invoice
Value-Added Tax Code
VAT System on Intra-Community Transmissions
.
This note is
only for information and does not hold its divulgers
responsible. For thorough information you must consult
the Law.
