The simplified invoice is the one that replace the one we used to know as a ticket. This type of invoice was introduced in the Spanish Invoicing Regulations in 2012 with effect from 2013. The fundamental difference between full invoices and simplified invoices is the amount of data required in one and the other.
Who can issue simplified invoices?
The simplified invoice may be issued, at the choice of the issuer, in the following cases:
- When the amount of the work to be invoiced does not exceed EUR 400, VAT included.
- When a corrective invoice must be issued (this is the document used to modify some data of an original invoice or for the return of goods).
In addition, the simplified invoice may be issued, when its amount does not exceed EUR 3,000 VAT included, in the operations described below:
- Retail sales.
- Sales or services at the consumer’s home.
- Sales or services by ambulance.
- Transport of persons and their luggage.
- Hotel and catering services provided by restaurants, bars, cafeterias and similar establishments, as well as the supply of drinks or meals to be consumed on the spot.
- Services provided in dance halls and discotheques.
- Hairdressing and beauty services.
- Use of sports facilities.
- Dry-cleaning and laundry services.
- Use of toll motorways.
- Telephone services in public telephone booths.
- Photograph development and services provided by photographic studios.
- Film rental.
When may a simplified invoice not be issued?
You will not be able to use the simplified invoice for the following operations:
- Intra-Community deliveries of goods (EIB).
- Distance sales transactions.
- Transactions located in the Territory of Application of the Tax (TAI) in which the supplier or provider is not established, there is a reverse charge and the recipient issues the invoice on behalf of the supplier or provider.
- Transactions not located in the Territory of application of the tax (TAI) in which the supplier or provider is not established, the taxable person is reversed and the recipient issues the invoice on behalf of the supplier or provider.
- Transactions not located in the Territory of Application of the Tax (TAI) if the supplier or provider is established: When the transaction is deemed to be carried out outside the European Union (EU) and when the transaction is located in another Member State (MS), the reverse charge occurs and the recipient does not issue the invoice on behalf of the supplier or provider.
Which data does it contain?
A simplified invoice must contain each of the following details:
- Number and, if applicable, series. The numbering of the invoices within each series will be correlative.
- Date of issue of the invoice. In the event that this is different, the date on which the work was carried out or the date on which the advance payment was received must also be included.
- Tax identification number (NIF) of the person obliged to issue the invoice.
- Name and surname, full name or company name of the person required to issue the invoice.
- Identification of the type of goods or services supplied.
- VAT rate applied and optionally, also the expression “VAT included”.
- The total amount payable.
- Tax ID number, name and surname and address of the recipient and tax liability (withholding for PIT purposes), if the recipient is a businessperson, professional or not, but requests this in order to comply with their tax obligations or to exercise any tax right.
Compared to the ticket, the simplified invoice is intended to be a more formal supporting document, although without reaching the level of a full invoice, thus avoiding the greater administrative complexity that this would entail.
How is a simplified invoice accounted for?
Accounting for a simplified invoice does not involve any special procedure, but rather following the method as for any full invoice.
As long as such an invoice refers to actual business expenses, the tax authorities contemplate and accept that this amount should be included in the business’ accounting records.
The simplified invoice must mention the tax rate and the total amount, but is not required to indicate the recipient of the transaction. In this case, there would be no problem in accounting for the amount, but it would be different if the company wished to deduct the VAT arising from this activity.
This is why many receipts give a detailed breakdown of the amount and tax on the simplified invoice, but this does not mean that they are valid proof when claiming VAT deduction, since their anonymous nature means that anyone can be the recipient of the transaction and not the taxpayer in question.
However, although, exceptionally, the Tax Authorities may make certain exceptions and exempt certain sectors or types of companies from accepting receipts as a deductible method, in all other cases it is necessary for the assumptions described above to be met and for the recipient’s details to appear.
To this end, the tax authorities have extensive information on how to request the full invoice in order to be able to deduct VAT on transactions recorded in the accounts as a simplified invoice. In the event of refusal by the company issuing the invoice, it will be possible to file an economic-administrative claim.
Therefore, after these facilities for requesting the exchange of receipts for ordinary invoices, the Tax Authorities require that any company or professional, before including a transaction justified by a simplified invoice as a deductible expense, request the document certifying the full invoice.