Artefacts - Breaking changes coming with end of Brexit transitional period to the Accounting API

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Invoices cannot contain a mixture of goods and services

Under certain circumstances, invoices, quotes, estimates, credit notes, corrective invoices in Spain and recurring sales invoices cannot contain a mixture of goods and services item lines

Rule applies in the following scenarios:

GB VAT Registered business selling to an EU non VAT registered business
EU VAT Registered business selling to a GB non VAT registered business

Irish postponed accounting

If you import goods into the EU from the rest of the world, you can use postponed accounting to deal with import VAT.

Financial settings

If a business is using the scheme, a flag on the financial_Settings endpoint called postponed_accounting is available and will be set to either a true or false value.

e.g. GET /financial_settings

{
  "$path": "string",
  "year_end_date": "2020-11-30",
  "year_end_lockdown_date": "2020-11-30",
  ...
  "postponed_accounting": true,
  ...
}

Rules for using postponed accounting on purchase artefacts

Purchase invoices and credit notes for Irish, Northern Irish and GB businesses purchasing from Rest of World suppliers, or suppliers who are Import Agents and are not using Postponed VAT

For item lines which are EU Services, the VAT Rate is selectable but the VAT Amount will be 0.00

Purchase invoices and credit notes for Irish, Northern Irish and GB businesses purchasing from Rest of World suppliers or supplier who are Import Agents, who are using Postponed VAT

For item lines which are EU Goods, the VAT Rate is selectable but the VAT Amount will be 0.00
For item lines which are EU Services, the VAT Rate is selectable but the VAT Amount will be 0.00

Flag on purchases from EU under £135

Purchase invoices and credit notes

On purchase invoices and credit notes, there is a new vat_exempt_consignment flag to indicate when consignment values are under £135 and you have agreed with your supplier that you will account for VAT on your VAT return using Reverse Charge

Conditions required for flag to be set as true:

GB business purchasing from EU supplier where consignment value is < £135
GB business purchasing from Rest of World supplier where consignment value is < £135

If the required conditions are not met and the the flag is set to true, the flag will be ignored.

e.g. GET /purchase_invoices/<invoice id>

{
"purchase_invoice": {
  "contact_id": "string",
  "date": "2020-11-30",
  "due_date": "2020-11-30",
  "postponed_accounting": true,
  "cis_applicable_amount": 0,
  ...
  "vat_exempt_consignment": true,
  ...
}

Required artefact parameters

Depending on where the business you integrate with is located, as well as the contact you are using on the artefact, the required parameters will change. The grid below explains when certain parameters are required.

Business address based in EU

Required parameters

Business location	Transaction type	Contact location	Contact Vat registered?	eu_goods_services_type_id required?	Zero rated tax?	eu_sales_description_id required?
DE	Sales	GB	Yes	No	No	No
DE	Sales	GB	No	No	No	No
ES / FR	Sales	GB	Yes	FR = No ES = Yes	Yes	No
ES / FR	Sales	GB	No	Yes	Yes for goods / No for services	No
DE	Sales	NI	Yes	No - N/A	No - N/A (linked to LA)	Yes
ES / FR	Sales	NI	Yes	Yes	Yes	Yes for goods / No for services
DE	Sales	NI	No	No - N/A	No - N/A (linked to LA)	No
ES / FR	Sales	NI	No	No	No	No
DE	Purchase	GB	Yes	No - N/A	No - N/A (linked to LA)	N/A
ES / FR	Purchase	GB	Yes	Yes	Yes for goods / No for services	N/A
DE	Purchase	NI	Yes	No - N/A	No - N/A (linked to LA)	N/A
ES / FR	Purchase	NI	Yes	Yes	No	N/A

Business address based in GB

Required parameters

Business location	Transaction type	Contact location	Contact Vat registered?	eu_goods_services_type_id required?	Zero rated tax?	eu_sales_description_id required?
GB	Sales	EU	Yes	Yes	Yes	No
GB	Sales	EU	No	Yes	Yes for goods / no for services	No
GB	Sales	NI	Yes	No	No	No
GB	Sales	NI	No	No	No	No
GB	Sales	ROW	N/A	Yes	Yes	No
GB	Purchase	EU	Yes	Yes	No	N/A
GB	Purchase	NI	Yes	No	No	N/A
GB	Purchase	ROW	N/A	Yes	No	N/A

Business address based in NI

Required parameters

Business location	Transaction type	Contact location	Contact Vat registered?	eu_goods_services_type_id required?	Zero rated tax?	eu_sales_description_id required?
NI	Sales	EU	Yes	Yes	Yes	Yes for goods / No for services
NI	Sales	EU	No	Yes	No	No
NI	Sales	GB	Yes	No	No	No
NI	Sales	GB	No	No	No	No
NI	Sales	ROW	N/A	Yes	Yes	No
NI	Purchase	EU	Yes	Yes	No	N/A
NI	Purchase	GB	Yes	No	No	N/A
NI	Purchase	ROW	N/A	Yes	No	N/A

Business address based in ROW

Required parameters

Business location	Transaction type	Contact location	Contact Vat registered?	eu_goods_services_type_id required?	Zero rated tax?	eu_sales_description_id required?
ROW	Sales	GB	Yes	No	N/A	No
ROW	Sales	NI	Yes	No	N/A	No
ROW	Purchase	GB	Yes	No	N/A	N/A
ROW	Purchase	NI	Yes	No	N/A	N/A

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Overview of Brexit API changes