- Invoices and settlements in the municipal practice often result in incorrect processing of VAT.
- Examples include invoices from taxi companies for WMO transport services, invoices from waste processing companies for recycling sales, and settlements from watersports associations for collected mooring fees.
- These invoices and settlements require a split between cost and revenue, but if not recognized in the automated financial administration, errors can occur.
- This can result in negative costs and incorrect VAT reporting.
- Significant amounts may be incorrectly deducted from compensable or offsettable VAT.
- It is recommended to address this issue internally and establish clear protocols or agreements with suppliers for separate invoices for cost and revenue.
- Prevention is better than cure.
Source: efkbelastingadviseurs.nl
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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