Regulatory compliance
Overview
Monite aims to help SMBs create invoices that comply with the local regulatory requirements. As part of this approach, invoices can only be issued by entities from countries for which Monite provides regulatory coverage.
Entities registered in countries other than those listed can create draft invoices, but will not be able to issue them (that is, move invoices to the "issued" status).
Supported countries
Monite Accounts Receivable API supports invoicing for entities from the following countries and regions.
Countries and regions marked with *
are supported with some specifics. Follow the links for the details.
- 🇦🇴 Angola *
- 🇦🇺 Australia *
- 🇦🇹 Austria *
- 🇧🇪 Belgium
- 🇧🇼 Botswana
- 🇧🇬 Bulgaria
- 🇨🇿 Czech Republic
- 🇩🇰 Denmark
- 🇪🇪 Estonia
- 🇸🇿 Eswatini
- 🇫🇷 France *
- 🇫🇮 Finland
- 🇩🇪 Germany
- 🇬🇷 Greece
- 🇮🇪 Ireland
- 🇮🇱 Israel
- 🇱🇸 Lesotho *
- 🇱🇷 Liberia *
- 🇱🇺 Luxembourg
- 🇲🇿 Mozambique *
- 🇳🇦 Namibia
- 🇳🇱 Netherlands *
- 🇵🇰 Pakistan *
- 🇵🇱 Poland
- 🇿🇦 South Africa
- 🇪🇸 Spain *
- 🇮🇨 Spain: Canary Islands *
- 🇸🇪 Sweden
- 🇨🇭 Switzerland
- 🇦🇪 United Arab Emirates (UAE)
- 🇬🇧 United Kingdom (UK) *
- 🇿🇼 Zimbabwe *
EU OSS VAT scheme
Entities registered under the One Stop Shop (OSS) scheme can issue invoices for transactions that fall under this scheme. The entity needs to create a separate VAT number with type
of "eu_oss_vat"
and country
set to their EU country of registration.
Additional considerations
Angola
Angola
- According to the law, invoices need to be issued in Portuguese in Angola. Monite does not support invoice localization yet.
- In Angola, taxpayers with a turnover of 250000 USD or more are required to use e-invoicing. Monite does not support e-invoicing yet.
Australia
Australia
- VAT ID: renamed to ABN in PDF documents:
- For B2B local transactions we expect users to fill the customer ABN number under
vat_id
. - For B2B overseas transactions we expect users to fill their customer tax number under
tax_id
.
- For B2B local transactions we expect users to fill the customer ABN number under
- VAT fields: The rest of the fields such as “
vat_rate
”, are converted to GST on the PDF.
Austria
Austria
According to the Austrian Law:
For invoices whose total amount exceeds 10,000 euros, the VAT number of the receiving company must also be stated if the company providing the service has a place of residence (head office), its usual place of residence or a permanent establishment in Germany and the turnover goes to another entrepreneur is carried out for their company.
This rule has not been implemented yet.
Lesotho
Lesotho
When creating entities or counterparts, if they have a "Tax Identification Number", it should be specified under the tax_id
.
Liberia
Liberia
- The Liberian legislation requires to issue separate invoices for goods and services. As per the legislation requirements, users should not issue an invoice containing both goods and services.
- In Libera the VAT system is not yet implemented. Instead, GST (Goods and Service Tax) is issued. Attention:
- For GST rates we are using
vat_rate
. We do not have an specific field mapped for GST rates. - For company tax numbers, we are using
vat_id
.
- For GST rates we are using
- Caveat: PDF invoices will show “VAT” instead of “GST”. The automatic conversion from "VAT" to "GST" will be handled in future releases.
Mozambique
Mozambique
According to the law, invoices must be issued in Portuguese in Mozambique. Monite does not support invoice localization yet.
Netherlands
Netherlands
Users that have a Dutch Business Register number (KVK) should specify it as their tax_id
in the entity information.
Pakistan
Pakistan
We only support the standard rate on Sales tax. Other forms of excise taxes are not supported.
Custom rates on sales tax
We are currently working on the functionality to allow users to introduce custom rates. This functionality will be available in the coming weeks.
Spain
Spain
- We support mainland Spain (excluding Ceuta, and Melilla).
- Some Spanish taxpayers may be required to include an income tax withholding on their invoices for certain transactions. Use the
withholding_tax_rate
field in the invoice payload to specify the percentage of withholding.
The following is not supported:
Spain: Canary Islands
Spain: Canary Islands
- VAT ID: renamed to NIF in PDFs:
- For B2B local transactions we expect users to fill the customer NIF number under
vat_id
. - For B2B overseas transactions we expect users to fill their customer tax number under
tax_id
.
- For B2B local transactions we expect users to fill the customer NIF number under
- VAT fields: The rest of the fields such as
vat_rate
are converted to IGIC in PDFs.
UK
UK
Northern Ireland Protocol specifics
Sales of goods from Northern Ireland to EU member states fall under the Northern Ireland Protocol, which sets the rules for post-Brexit trade. Among other things, the NI Protocol requires that invoices for such sales display the seller VAT ID with the "XI" prefix instead of "GB".
Learn how to configure VAT IDs for UK entities that operate under the NI Protocol.
Updated 4 days ago