5.3. Invoice registration

Our electronic invoicing feature complies with the Spanish VeriFactu law (To learn more about this regulation, you can consult our article here

You can choose to issue invoices within the VeriFactu system or outside of it

To issue invoices in compliance with VeriFactu, see how to activate it in this section

We currently have 6 types of invoices available in our system:

• Ordinary invoice
• Simplified invoice
• Rectifying invoice
• Rectifying invoice for simplified invoice

To create an invoice in the “Income” section, you must click the “Create invoice” button or select “Invoices” from the + menu in the top right corner

5.3.1. Invoice creation

The following invoice fields must be completed:

• Select the invoice date from the calendar (mandatory field)

Transaction document

• Select the type of transaction.
• Add an internal comment. This will appear in the ledger, but will not be included in the PDF version of the invoice.

Counterparty / Client details

• Country/place of transaction.
• Counterparty Name / Company Name (required field)
• CIF/NIF registration number (required field)
• VAT number (if applicable)
• Client bank account – the user's client bank account
• Address
• Postal code (required field)
• Email
• Phone

Using the partner data search in the Spanish Commercial Registry, by entering the partner's name in the “Partner Name” field, the “Name”, “Registration Number”, “VAT Number” fields, as well as “Legal Address”, “Email”, and “Phone” will be automatically filled (coming soon).

These fields are not mandatory to save the transaction, but they are required to complete the economic activity ledger.

When completing the name field, previously saved partners will appear as suggestions, and upon selection, the transaction partner's fields will be automatically filled.

Specification

You must fill in the following fields (payment details must be completed, which will be shown in the PDF version of the invoice):

• Contract number (if any);
• Comment (service term/period): you can indicate additional information that will appear in the invoice PDF file;
• Choose between service and product
• Select the type of IRPF withholding (if applicable to your activity)
• Account number: your account number, which is indicated in the section My Business -> Invoice SettingsCurrency: the invoice amount is indicated in euros by default, but it is possible to choose another currency from the list. In that case, the amount in the selected currency will be displayed next to the amount in euros according to the exchange rate on the transaction registration date;
• Product/service name (required field): here you must enter the name of the product or service. When filling in this field, previously saved products/services will be shown as suggestions, and when selected, the fields will be automatically filled. If you wish, you can remove a product from the suggestion list;
• Price per unit (required field);
• Unit of measurement;
• Quantity (required field);
• VAT type (%) (applicable only to VAT taxpayers);
• Total price: if another currency was selected for the invoice, the price in the chosen currency will be displayed next to the price in euros.
• Add another product or service: if necessary, you can add more products or services. If you need to remove them, click the “DELETE” button.

Payment method
You must choose the payment type:

• None – if the invoice date and payment date do not match;
• Cash – if the invoice has been paid in cash;
• Bank – if the invoice has been paid by bank transfer;
• Payment system (Paypal/Revolut) – if the invoice has been paid via an electronic payment system.

* If you choose “None” as the payment method, the option to select the payment term will appear, by choosing the date from the calendar. 

Once you have entered all the information, click “+ Create” and the invoice preview will open, where the first page will be shown as a draft. 

Now you can:

• Download the invoice in PDF format by clicking “Download”;
• Choose the invoice design: by default, the standard design or the one you previously saved in the section My profile -> Invoice settingsChoose the invoice language: it is possible to select Latvian or English. Even if the email text is displayed in another language (for example, in English), before sending it you must change the language in your profile;
• Once the design and language have been chosen, press the “Update” button next to the language so that the invoice adapts to the selected criteria;

VeriFactu:

Check that all invoice data is correct and click “Publish” if you want to issue the invoice in accordance with VeriFactu regulations and have already registered in the “VeriFactu” section of your profile.

After publishing the invoice, its data will be sent to the Tax Agency. It may take one or two minutes to receive a response from the Tax Agency. If the response is “Correct”, you will be able to download the PDF and/or send it to your client by email, WhatsApp, display the QR code for payment, or simply copy the link and send it by any other means.

Please note that after publishing the invoice and receiving the “Correct” status, you will no longer be able to edit it.

* To create invoices, in the "My Profile -> Invoice Settings" you must fill in the Bank Name and Account Number fields.

 The invoice number is automatically generated from the order number and prefix, which you can also configure in "My Profile -> Invoice Settings"Ensure your invoices have correct consecutive numbering, one after another.If you want your invoice to display your logo, you can also upload it in the same section.

All information about you as a service provider is extracted from the Profile and Tax Information sections.

Rectifying invoices.

Rectifying invoices are essential documents for correcting errors or modifying data from previous VeriFactu invoices.

To issue a corrective invoice for a VeriFactu invoice, you must go to Income and click the button “Edit” next to the invoice you want to correct.

There are five options, each based on specific articles of the VAT Law (Law 37/1992) and its regulations.

R1 - Corrective Invoice (Error based on law and Art. 80 One Two and Six LIVA)

When a well-founded error of law or any of the causes of art. 80.One, Two and Six LIVA (returns of goods, discounts or price alterations subsequent to the completion of the operation, resolution of operations, amount of provisional consideration) has occurred, a corrective invoice with a specific series must be issued, the information of which will be registered with invoice type R1.

In the case of the return of goods or packaging that occurs during a subsequent supply to the same recipient and tax rate, it will not be necessary to issue a corrective invoice; instead, the amount of the returned goods or packaging will be subtracted from the amount of said subsequent operation, and the result may be positive or negative.

The date on which the delivery was made or the service was rendered, as indicated on the initial invoice, will be included as the operation date. In the case of correcting several invoices with a single corrective invoice, the most recent date will be indicated.

R2: Corrective Invoice (Art. 80.Three, due to bankruptcy proceedings)

When there has been a modification of the VAT taxable base due to the client being in bankruptcy (art. 80.Three LIVA), a corrective invoice with a specific series must be issued, and its information will be registered with invoice type R2.

Likewise, the type of corrective invoice must be identified with the keys "S- by substitution" or "I- by differences" according to how the business owner wishes to carry out the correction.

The date on which the delivery was made or the service was rendered, as indicated in the initial invoice, will be included as the operation date. In the case of correcting several invoices with a single corrective invoice, the most recent date will be indicated.

R3: Corrective Invoice (Art. 80.Four, for uncollectible credit)

When there has been a modification of the VAT taxable base due to client non-payment (art. 80.Four LIVA), a corrective invoice with a specific series must be issued, and its information will be registered with invoice type R3.

R4: Corrective Invoice (Other)

Invoice type R4 will be indicated in these situations:

• When there has been a modification of the VAT taxable base for reasons other than those provided for in article 80 LIVA and it is not due to a well-founded error of law, a corrective invoice with a specific series must be issued, and its information will be registered with invoice type R4.
• When any non-monetary data on the invoice has been erroneously recorded

R5: Corrective Invoice in simplified invoices

The rectification of a simplified invoice will be registered with key R5, whatever the reason for it.