This is what you need to know when selling as it can impact your VAT position, you’ll use a full VAT invoice for most transactions.
You can use:
- a modified invoice for retail supplies over £250
- a simplified invoice for retails supplies under £250 - and for other supplies from 1 January 2013
Include the following on your invoice, depending on which type you use.
|Invoice information||Full invoice||Simplified invoice||Modified invoice|
|Unique invoice number that follows on from the last invoice||Yes||Yes||Yes|
|Your business name and address||Yes||Yes||Yes|
|Your VAT number||Yes||Yes||Yes|
|The tax point (or ‘time of supply’) if this is different from the invoice date||Yes||Yes||Yes|
|Customer’s name or trading name, and address||Yes||No||Yes|
|Description of the goods or services||Yes||Yes||Yes|
|Total amount excluding VAT||Yes||No||Yes|
|Total amount of VAT||Yes||No||Yes|
|Price per item, excluding VAT||Yes||No||Yes|
|Quantity of each type of item||Yes||No||Yes|
|Rate of any discount per item||Yes||No||Yes|
|Rate of VAT charged per item - if an item is exempt or zero-rated make clear no VAT on these items||Yes||Yes (1)||Yes|
|Total amount including VAT||No||Yes (1)||Yes|
(1) If items are charged at different VAT rates, then show this for each.
You can also use the table as a guideline for reclaiming VAT and using the table as a mechanism for what HMRC accepts as proof of a VAT purchase when you reclaim VAT.