Self Billing/Self invoice for Italy

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Posted on by Community Member

Hi All,

We are rolling out AX2012 R2 to our Italian site. We are unsure about what we can do in our version of AX to satisfy the self billing/invoice required to account for VAT on non EU purchases.

Unlike the EU where a reverse charge indicated on the vat option selected, it appears for NON EU Italian companies need to record a self invoice to generate the vat entries on both the purchase and sales tax books.

Any help on this topic would be greatly appreciated, especially if you have experienced this requirement.

Kind Regards

Tara

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Ludwig Reinhard Microsoft Employee on at

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Hello Tara,

Could you provide some more details for this request such as what do you mean by NON EU Italian companies and the process/transactions you try to record exactly. I believe an example with some figures would help a lot.

Many thanks,

Ludwig

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Community Member on at

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Hi Ludwig,

Thanks for replying,

For example if our company in Italy receives an invoice from a US Vendor.

This is at 0 VAT, however the Italian company must record what the Italian vat would have been if charged by another Italian company say for example 22%.

So if US Vendor send invoice of €5,000 this is booked at 0 vat. But at the same time we must also record 22% vat on both the Purchases and Sales in the Vat Books for Italy. We thought we could do this via a reverse charge but we are told that the Italian company needs to create an invoice addressed to themselves to record the vat applicable without implicating the GL, only presenting the AP & AR vat that would have applied on the Sales Tax Book for Italy the 22%.

Hope this makes sense.

thanks

Tara

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Claes85 14 on at

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Hi Tara,

Did you manage to solve this? We are facing the same issue with an Italian client.

Br,
Claes

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K_G 142 on at

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I am also interested in the answer to this question. Was the resolved at all. Given it's been a year, surely you've figured it out?

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