BR-Z-10
Validation message
A VAT breakdown (BG-23) with VAT Category code (BT-118) "Zero rated" shall not have a VAT exemption reason code (BT-121) or VAT exemption reason text (BT-120).
Explanation
Under EN 16931, a 'zero rated' entry in the VAT breakdown must not carry an exemption reason, neither as text nor as a code. The zero rate is a rate, not an exemption. If a reason is given anyway, an exempt supply is usually meant; that has its own category, 'exempt', or one of the specific ones such as intra-community supply or export.
How to fix
Check whether the supply is zero rated or exempt. Ask the seller for a corrected invoice without the exemption reason, or with the correct category.
Applies to
- EN 16931 (UBL)
- EN 16931 (CII)