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. Currently this includes Germany and UK (except some Northern Ireland scenarios mentioned below).

Entities registered in countries other than Germany and UK can create draft invoices, but will not be able to issue them (that is, move invoices to the "issued" status).

Additional considerations for Northern Ireland

Sales made from Northern Ireland to EU member states fall under the Northern Ireland Protocol, which sets the rules for post-Brexit trade.

Monite Account Receivable API supports invoicing for the following scenarios:

• Sales from Northern Ireland to non-EU countries.
• B2B (business-to-business) sales from Northern Ireland to EU member states.

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  Important

  This scenario requires that the seller's VAT number on the invoice has the "XI" prefix as an identifier for "Northern Ireland". To achieve this, an entity needs to update its vat_id in Monite to include the "XI" prefix (for example, change "123456789" to "XI123456789"). This must be done before the entity creates an invoice for its EU counterpart.

Invoicing for the following scenario is currently not supported:

• B2C (business-to-consumer) sales from Northern Ireland to EU member states.