In the Mini branch, you have the option to indicate that VAT on domestic invoices without invoice images will also be deducted. But what are the risks and benefits?
The contract between us
Before going into the pros and cons, it is important to clarify that the right to deduct VAT is technically based on the invoices (invoice images) actually received, and that the NAV data alone does not qualify as such. Under our current GTC, since it is your responsibility to keep the supporting documents, this in principle gives us the possibility to account without an invoice image. Below is a summary of why and the advantages and disadvantages of this option for you.
Risks when accounting only on the basis of NAV data:
Completeness issue: If you do not send an invoice image, we do not know whether the invoice has been formally accepted or not (in practice, this means that all domestic invoices found at the NAV and reported to your company's tax number are considered formally accepted.)
Unauthorised deduction of VAT: Someone may request an invoice on your behalf, but the transaction does not belong to you, so the VAT deduction is unauthorised.
Incorrect data: Incorrect data may be provided by the NAV systems or by the issuer of the invoice. If you do not send the invoice and there is a shortfall due to a data reporting error, we will not be able to deduct the VAT on the expense invoice or the declaration will be based on incorrect data.
Storing invoices: If you don't send us the invoice image, we don't store them, so in the event of a VAT audit, if you don't store invoices properly, it will be an extra resource for both you and us to prepare. (It's important to know that you are legally obliged to keep invoices in legible form for at least eight years.)
Loss of faster searchability: The invoice images you send us can be easily searched at any time by you and us, so we can carry out a VAT check quickly and easily. The accounting service fee includes the subscription fees for QUiCK accounts, a modern system for storing invoices.
Process problem: NAV data is only available for domestic invoices, so you will still need to arrange for foreign invoices to be sent to us.
Advantages of accounting only on the basis of NAV data:
Less administration: If we use NAV data as a basis for accounting, we're less likely to ask about invoice deficiencies, which can simplify administration and you won't be unnecessarily bothered.
Recommendation
Meyer&Levinson recommends that you send us the invoices and other documents in full and by the deadline agreed in the contract. To do this, use the alias email addresses, so that you can forward all incoming invoices immediately to the accounting department. For more information on alias email addresses, click here.
However, if you can properly manage the storage of invoices in your own system and you don't have any foreign invoiced, you should consider allowing us to book based on NAV data.