BR-AG-09: IPSI VAT amount must equal the taxable amount times the rate

What it means

In an IPSI row of the VAT breakdown (BG-23), the VAT category tax amount (BT-117) must equal the taxable amount (BT-116) multiplied by the VAT category rate (BT-119) and divided by 100. IPSI is code M in the file, the tax of Ceuta and Melilla. The check rounds the expected figure to two decimals and accepts a difference of less than 1 in the invoice currency, but you should still calculate it exactly.

Why it matters

The VAT amount is the tax due on the invoice. If it does not follow from the base and the rate, the totals cannot be trusted, and the invoice is rejected.

How to fix it

Take the taxable amount of the IPSI row, multiply it by the rate, divide by 100 and round to two decimals. For example, 1000.00 at 10 percent gives 100.00. Work this out once per rate on the rate's total rather than per line, so that rounding differences do not add up, and make sure the total VAT (BT-110) is the sum of the breakdown amounts.

The rule as published

The VAT category tax amount (BT-117) in a VAT breakdown (BG-23) where VAT category code (BT-118) is "IPSI" shall equal the VAT category taxable amount (BT-116) multiplied by the VAT category rate (BT-119).

Business terms: BG-23, BT-116, BT-117, BT-118, BT-119

Where this rule applies