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Here is the advice our experts gave about Vat and tax invoices, to a subscriber:
Question:
Can we create two tax invoices for one transaction?
My understanding of Vat is that a registered company can produce ONE original tax invoice only (i.e. for a single transaction). Is it possible for this same company to produce another tax invoice for the same transaction via the website of the purchaser (who is also Vat registered), by following the web set-up (software) of the purchaser?
Another tax invoice is created for their records, and there are now two original tax invoices for the same transaction. Is this allowed?
Answer
No. You may not issue two tax invoices for a single transaction, as this could result in the Vat being claimed twice as input tax. You be held liable for Vat fraud in this case.
You may issue a tax invoice in paper form or electronically - in such case, the purchaser can claim input tax on the strength of the paper or electronic tax invoice.
You may issue a copy of a tax invoice with the word shown on the tax invoice. If input tax is claimed on the strength of a tax invoice, SARS auditors will check to see that the Vat hasn't already been claimed as input tax.
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