What’s a Correct or Valid Invoice? Data Checklist

When creating invoices for business transactions, whether for sales or purchases, certain key elements must be included to ensure the invoices are correct or balid. Keep in mind that these elements are essential for businesses operating in standard currencies like euros or dollars and do not apply to cryptocurrency companies.

Sales Invoice Data

A) CUSTOMER INFORMATION

For businesses

✅ Company name.

✅ Registration number.

✅ VAT number (if applicable): Find out if you need VAT here.

For individuals

✅ Full name.

✅ Address (or at least the country).

B) INVOICE NUMBER AND DATES

✅ Unique and sequential invoice number: Your first invoice should be labeled as Invoice No. 1, the next one will be Invoice No. 2, and so on. You can also use a prefix for each customer (e.g., ACME-1, ACME-2, ACME-3).

✅ Invoice issuance date and due date: The issue date should be the first date you started providing the services. The due date indicates the payment deadline. It is advisable for the due date to be no more than one month after the issue date.

✅ Price excluding VAT in EUR (even if a conversion to another currency is indicated).

C) TOTAL AMOUNT AND VAT INFORMATION

✅ Total cost of products or services including VAT and any other applicable taxes, specified in the appropriate currency.

✅ VAT percentage and corresponding amount if applicable. Find out if you need to add VAT at this link. If the invoice does not include VAT, you must clearly explain why.

✅ For intra-community transactions within the EU, mention "VAT 0%, intra-communitary reverse charge" if both companies are VAT liable.

Purchase Invoice Data

A) RECIPIENT DETAILS

✅ Your company's name.

✅Registration number.

✅ VAT number (if any). Find out if you need VAT here.

✅ Physical address.

B) SELLER INFORMATION

✅ Business name.

✅ Registration ID.

✅ VAT number (if applicable).

✅ Legal address.

C)INVOICE NUMBER AND DATES

✅ Unique invoice number.

✅ Issue date.

D) TOTAL AMOUNT AND VAT INFORMATION

✅ Total cost excluding VAT.

✅ Applicable VAT. Find out whether you need to include VAT by checking here.

✅ Grand total including any VAT or additional charges.

✅ The currency must be clearly indicated (euros, dollars, etc.).



Important Note: Proper invoices are required for bank movements; screenshots from apps like Wise or similar are not acceptable. Review your invoices thoroughly, especially when starting out, to ensure all necessary data is included and accurate.

Updated on: 09/02/2024