How to handle the VAT adjustment in below scenario.
a. The customer raised an advance tax invoice (386) with invoice number as “001” with a total amount of 100,000 with VAT of 15,000
b. This advance tax invoice (386) is being referenced in a tax invoice(388) with an invoice valuation of 200,000 and VAT rate as 15%.In this tax invoice, the VAT total amount is indicated as 30,000. but the payable vat amount is still 15,000
Given this scenario, there is a provision to send the VAT total amount for tax Invoice(388) 30,000 and QR code scan result displays this amount (30,000), which is not correct. The QR code should show only 15,000.
Is there any provision to send the reduced VAT amount which can be shown in QR code scan result.
@Somesh you may be using some third party app to scan the QR Code. Please note when you scan QR Code using ZATCA’s official Mobile App, it does not display the VAT Amount. It will only display the Invoice total amount (incl VAT) from the field BT-115 which is after adjusting advance payments. In your example, QR Code scanned using ZATCA’s Mobile App will display the amount of 115,000 for invoice 388 (230,000 - 115,000).
Thanks @Ankit_Tiwari for the answer.
But for the problem here is our customer’s client are using third party app to determine the VAT amount. In that case, our QR code is showing 30,000 SAR as VAT Amount instead of 15,000 SAR. Because of QR code is showing the VAT amount (without subtracting Advance VAT amount) our client’s payment is put on hold.
I am also hearing that other service providers are showing the correct VAT amount (After deducting the Advance VAT amount). When we analyze the XML file there is no field for showing reduced VAT amount. Is there any field which can be populated in QR code so as when we scan will show the reduced VAT amount (Regular invoice VAT amount minus Advance invoice VAT amount). Your help is greatly appreciated so our clients will get the payments.
@Somesh For the invoice total VAT Amount there is only 1 field BT-110 and the value in this field if before advance payment adjustments. If some solution providers say that they are able to show VAT amount (after adjusting VAT from Advance payment invoice) inside QR it is an incorrect statement as BT-110 takes value before advance payment adjustments. ZATCA’s app does not display VAT amount for this very reason that VAT amount in QR Code reads from BT-110 which is before adjusting VAT pertaining to advance payment. Please ask taxpayers to use only ZATCA’s official mobile app for scanning QR Code.