In order to comply with VAT regulations, for any sale of more than R50, you have to issue a tax invoice, with the word "tax invoice" printed on it. This is the most important document in the VAT system. The VAT Act prescribes that a tax invoice must contain certain details about the taxable supply as well as the parties to the transaction. This includes:
- The value of the goods/services excluding VAT
- The VAT amount (calculated at 14% of the above amount)
- The value of the goods/services including VAT
- The name, address and VAT registration number of the person buying the goods/services
- And your own name, address and VAT registration number.
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