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Options and Automation for Small Business Owners and Reverse Charge
For proposals and invoices that are tax-exempt because, for example, you fall under the small business regulation or the customer is located in another EU country and therefore the reverse charge procedure applies, there are now new setting options, which we will show here:
Hiding tax rate and gross line
With a tax rate of 0%, MOCO now automatically offers to completely hide tax and gross (1). If necessary, make the setting under Invoicing > Tax Rates.
English image not yet available...
English image not yet available...Popular with small business owners
Although "no tax stated" also corresponds to a display of 0% VAT or GST, some small business owners prefer to hide the lines. This frequently expressed wish has contributed to the prioritization of this further development.
Automate note
Note sentence is mandatory
Whether small business regulation or reverse charge - an invoice requires a note explaining why the invoice is tax-exempt.
For example, for the small business regulation in Germany a text note like "According to § 19 UStG no sales tax is charged" - or when applying the reverse charge procedure "Tax liability of the service recipient".
When setting the tax rate, you can directly enter such a note sentence (2). It will then be automatically displayed below the total amount (3). Coordinate the legally correct text for you with your tax office.
For example, for the small business regulation in Germany a text note like "According to § 19 UStG no sales tax is charged" - or when applying the reverse charge procedure "Tax liability of the service recipient".
When setting the tax rate, you can directly enter such a note sentence (2). It will then be automatically displayed below the total amount (3). Coordinate the legally correct text for you with your tax office.
Better automation for reverse charge
For your customers located in another EU country and for whom you invoice using the reverse charge procedure, you usually have already preselected the correct tax rate for the customer.
Previously, the recommendation was to predefine the reverse charge note as a different closing text for the customer.
This is no longer necessary, as the note can now be stored directly with the tax rate.
Are you already using the closing text for the reverse charge note and want to switch?
Proceed as follows:
1. Export customers.
2. Filter for customers with 0% tax rate.
3. Edit or delete the closing text for these customers.
Previously, the recommendation was to predefine the reverse charge note as a different closing text for the customer.
This is no longer necessary, as the note can now be stored directly with the tax rate.
Are you already using the closing text for the reverse charge note and want to switch?
Proceed as follows:
1. Export customers.
2. Filter for customers with 0% tax rate.
3. Edit or delete the closing text for these customers.
