The inversion of VAT taxable person in some service provisions regarding fixed assets is now a responsibility of the service purchasers or recipients , when configured as taxable persons with total or partial tax deduction, as well as the obligation to settle due VAT, which can also be subject to deduction in the general terms.

This way, the service purchaser or building owner (customer), as a VAT taxable person (for performing an industrial, commercial or service provision activity) for taxable or exempt operations that grant the right to deduction, when awarding a work to a Construction company, will be responsible for delivering the VAT regarding the work carried out to the State. The corresponding invoice issued by the contractor will not include the tax amount, unlike what happened until now. This way, the customer (VAT taxable person) has the obligation to calculate the mentioned tax and hand it in to the State.

Implementation

To overcome the requirements applicable to the Taxable Person Reversal, PRIMAVERA suggests the following implementation method:

Sales process

You must use the same document currently used to issue the invoice for these services (e.g. Invoice), considering that:

In the sales editor, on the tab Transaction, change the fiscal space to National – Exempt. When making this change, the VAT rate is zero;
At the end of the document, insert a comment row with the following text "VAT due by the purchaser". It is required, by law, to present this expression on the invoice.

Purchase process

Create a specific document, for example:
- Document: VFR;
- Description: Your Invoice (Reverse Charge);
Note: Creating a specific document allows to automate the accounting;
Create items whose typification identifies Services with the corresponding subject rate;
When posting this type of document, identify the Services and the corresponding prices.

Regarding the process of integration in Accounting, PRIMAVERA suggests the following configuration for the document:

Account	Value	D/C	VAT Class	VAT Account	VAT Value
620D1	PSE+IVND	D	%L23ED%I	24323%LED%I	ISE+IVND
221N	PSE	C	%L373E	243373%LE	ISE

VAT Behavior

In a purchases document, when selecting the option Taxable Person Reversal on the row, the VAT rate is unchanged and the VAT value is changed to zero.

The system has this behavior because the VAT is not paid to the supplier or to another creditor (the buying company is responsible for handing over the VAT to the State). For that, the value of the row is subject to VAT, but it will not be taken into account in terms of the document (payable amount).

Note: When integrating this document is Accounting, the token regarding the VAT is decoded with the VAT value at the specified rate in order to be accounted for VAT settlement reasons.

For a sales document, when activating the same option, the row VAT rate is changed according to the VAT rate defined in the Administrator [Company] | Business Application Basis | Company Parameters | VAT Rates), and the VAT total becomes zero.

This behavior occurs because when performing the Taxable Person Reversal in a sales process, there is no VAT accounting by the supplier company. This way, unlike what happens in a Purchase document, in the link to Accounting, the VAT token is not decoded (the value is zero).

Bookmark or share this article

Esta página foi útil?

Obrigado pelo seu voto.

How to create payment proposals? How to print from the editor grid? How to set up alternative addresses and special rows in the editors? How to handle advance payments in the ERP? How to round the VAT in L&CM?