BR-S-09: Standard-rate VAT must be taxable amount times rate

What it means

In the VAT breakdown (BG-23), the VAT amount (BT-117) of category S (standard rate) must equal the taxable amount (BT-116) multiplied by the rate (BT-119), rounded to two decimals.

Why it matters

The recipient recalculates the VAT per rate. If yours differs, the VAT they would pay and deduct is wrong, so the invoice is rejected.

How to fix it

Work out the VAT on the taxable amount of each rate, for example 1,000.00 at 19 % gives 190.00, and round once. Do not add up VAT that was rounded per line: that is the usual cause of a one-cent difference. Most software has a setting to calculate VAT per rate rather than per line.

The rule as published

The VAT category tax amount (BT-117) in a VAT breakdown (BG-23) where VAT category code (BT-118) is "Standard rated" 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