The invoice , also called the equivalent document , is a format that serves to demonstrate economic facts. It is a commercial document that records the data of a sale or the provision of a service. It is the physical proof that an operation has been carried out between the two parties: buyer and seller, in a legal and satisfactory manner.With the invoice, it can be shown that the operation is valid and that the corresponding taxes have been paid. The detailed information that is written fully supports each activity between the client and the company. In order for both parties to be synchronized, the invoice is kept in duplicate, one for the customer and one for the company.

What is the invoice for?

The invoice serves to demonstrate that a product or service has been delivered , for which a certain amount has been charged, which is explained in parts. There are a series of requirements that must be met regarding the issuance and handling of invoices, and they are the following:

  • To demand a payment that has not yet been made, the seller must present the invoice
  • Every company is obliged to issue invoices to support all its sales
  • In any service after a sale, it is essential to have the invoice, and show it so that a return or a claim can be made, either by the seller or by the buyer.
  • In the event of any problem that may arise between the two participants, the invoice is the receipt and the guarantee, and it is the one that “has the last word” to clarify everything.

The invoice is a document that helps the company as a tax receipt that explains to the Secretary of the Treasury each income that is received and each expense incurred, among which are included the taxes corresponding to the product sold or the service provided, such as the Value Added Tax (VAT).

An expense that is not included in an invoice is not an expense that goes for tax purposes. To that must be added that it cannot be put into the accounting of the company.

If the buyer or recipient of the service does not meet the legal requirements on the part of the person obliged to invoice, the costs, deductions and deductible taxes that they intend to bear with the invoice issued will not be accepted.

Data that an invoice must carry

An invoice, to be valid, must contain the following information:

  • The word “Invoice” to name the document, as a heading
  • Surname and name or reason and NIT of the seller or service provider
  • Surname and forename or business name and TIN of the customer of the goods or services, and discrimination of the VAT paid
  • A folio or number that corresponds to a consecutive invoice numbering system
  • The date of its issue
  • The specific or general description of the items sold or the services provided
  • Total monetary value of the operation
  • The name or company name and the NIT of the invoice printer
  • Indication of sales tax withholding status

Legal aspects of the invoice

Article 615 of the Tax Statute establishes that for tax purposes, all persons or entities that act as merchants, exercise liberal professions, or provide services related to these, or dispose of agricultural or livestock products, must issue an invoice or equivalent document. , and keep a copy of it for each of the operations carried out.

Once the sale or service provided has been consolidated, the corresponding invoice must be issued. The invoices must contain the date of their issue, which must match the date of the sale operation or the provision of the service. Legally, the obligation is to keep a single copy of the corresponding invoice. This does not indicate that the obligor cannot keep more copies for other matters.

Samantha Robson
 | Website

Dr. Samantha Robson ( CRN: 0510146-5) is a nutritionist and website content reviewer related to her area of ​​expertise. With a postgraduate degree in Nutrition from The University of Arizona, she is a specialist in Sports Nutrition from Oxford University and is also a member of the International Society of Sports Nutrition.

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *