VAT Invoice Requirements

VAT Invoice Requirements

• 07 December 2023
• Negotiating Tax Debt and Payment Arrangements with SARS
• The Tax Faculty Tax Specialist

This FAQ article is based on tax law for the year ending 29 February 2024.

1. The Problem / Facts

With regards to the requirements for a valid tax invoice, does legislation specify whether it should include the physical address or the postal address? What address should be used in the case of a company with multiple branches?

2. Applicable Law 

Section 20(4) of the Value-Added Tax Act, No 89 of 1991

3. Application of the Law to the Facts

Section 20 (4) of the Value-Added Tax Act, No 89 of 1991 (VAT Act) prescribes that a tax invoice must contain certain details about the taxable supply as well as the parties to the transaction before it can be used by a trader to claim an input tax deduction in respect of the purchases made by the trader for his enterprise123. The following information must be included in a tax invoice.

• The words ‘tax invoice’, ‘VAT invoice’ or ‘invoice’.

• The name, address and VAT registration number of the supplier.

• The name, address and VAT registration number of the recipient (if applicable).

• Serial number and date of issue.

BGR 21, clarified that the address of the recipient and the supplier that must be reflected on a tax invoice, credit or debit note is either the physical address from where the enterprise is being conducted; the postal address of the enterprise; or both the physical and the postal address of the enterprise.

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