Defining common invoice tags, simplified invoice validation moved up

[samlown]

• Simplified invoice validation is now universal.
• Defined a standard set of invoice tags that can be used potentially in any invoice, with the possibility for tax regimes to add to their own local definition.
• Default tags are:
  • simplified for simplified invoices
  • reverse-charge for when the recipient is responsible for tax
  • self-billed for invoices created by the customer on behalf of the supplier.
  • customer-rates indicates that the tax rates of the customer's region should be applied instead of the supplier, such as for digital goods sold to B2C customers.

[juanmoliner]

@samlown Food for thought

customer-rates indicates that the tax rates of the customer's region should be applied instead of the supplier, such as for digital goods sold to B2C customers.

Shouldn't the default tax rates be those of the customer? Most countries adhere to the destination principle, which is the official recommendation by OECD.

For these reasons, there is widespread consensus that the destination principle, with revenue accruing to the country of import where final consumption occurs, is preferable to the origin principle from both a theoretical and practical standpoint. In fact, the destination principle is the international norm and is sanctioned by World Trade Organization (“WTO”) rules

Source: OECD International VAT/GST Guidelines - Chapter 1.C

[samlown]

@juanmoli9 I see your point... this is a semantic issue and no one is currently using this, so the names can be changed.

What could be the alternative? Ideally we want something explicit as its hard to guess if the final customer is a business or physical person based on the data. Perhaps a simple tag like "b2c"?