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140See BGR 11 for more information. 113
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VAT 404 – Guide for Vendors Chapter 13 obtain written authorisation from SARS before they will be allowed to apply this method of invoicing or creating recipient credit and debit notes see Chapter 15for more information on ruling applications. Note that approval for self-invoicing procedures will not be granted if the purpose is merely to facilitate the obtaining of a tax invoice, credit or debit note by the recipient. Approval will only be granted in the case of those industries and transactions where an effective self-invoicing system has traditionally been followed in the past. The written application to apply self-invoicing must provide – •a description of the nature of the businesses respectively carried on by the supplier and the recipient; •a full description of the transactions in respect of which self-invoicing is required; •details of the existing invoicing procedures being followed for such transactions; and •an undertaking by the recipient that they will comply with the administrative requirements with regard to tax invoices, debit notes or credit notes. The applicant must also obtain and retain the written agreement of each affected supplier in this regard (vendors) as well as their written confirmation that they will comply with the said administrative requirements. The ruling application must also include any the other documents as set out in the Quick Reference Guide: VAT Rulings Processwhich may be necessary to meet the requirements for a ruling application. 13.5 Tax invoices for mixed supplies As mentioned in 13.3, a full tax invoice must be issued in respect of a zero-rated supply. There may, however, be a situation where various supplies are made by the same supplier and where each supply is treated differently for VAT purposes. Should this occur, the tax invoice must clearly distinguish between the various supplies and indicate separately the applicable values, and the tax charged (if any) on each supply. 114