VAT Guide to Value Added Tax - sri lanka inland revenue ...

Chapter – 7
Invoicing
7.1 Invoicing
Invoice is the most important and crucial document in the implementation of VAT. It is
the key record of the supply of goods and services and the most crucial evidence for the
transaction and the tax liability. It forms the basis on which all registered persons will
account for the input tax and the out put tax.
• Cus.Dec, is treated as the invoice in the case of imported goods.
It is therefore very essential to comply with the invoicing rules. Failure to comply will be
liable to penalties and prosecution.
7.2. Types of Invoices
Any Registered Person who makes a supply of goods & services to another person
should issue a
• Tax invoice within 28 days from the time of supply if the recipient of supply is
another registered person and a written request is received from such recipient
within 14 days of supply – Section 20 (1)
• Normal Invoice to others – Section 20 (6)
7.3 Request for a Tax Invoice
The request for a tax invoice must be in writing within 14 days of the time of transaction
stating
- that he is a registered person under the VAT Act or
- that he is deemed to be a registered person under the VAT Act
- the full name and address as appearing in the Certificate of
Registration.
Where a request has been made by a registered person for the purchase of first supply
such person shall not be required to make any further requests for subsequent purchases
of supplies from the same supplier.
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