Create a small business invoice
These questions are answered:
At what point are you considered a small business owner?
Requirements
How to create a tax compliant small business invoice?
In your startup phase or in the course of re-establishing your business, you should discuss the various options available to your company with your tax advisor. Is the small business rule worthwhile for your venture? What are the arguments for and against it?
easybill supports you in the legally compliant creation of invoices without sales tax. Use document templates in the account, formulations and free Invoice Templates for Small Business without VAT for downloading.
What are the requirements for the small business invoice?
The §19 UStG defines exactly what the requirements are to be able to register as a small business. The small business regulation is intended as a simplification for companies, especially if you are just starting your business.
Therefore, the decisive factor is the turnover of your founding year and the current business year. Here you should not exceed the turnover limit of 22,000 euros in the founding year and 50,000 euros in the current fiscal year.
As long as these limits are met, you are exempt from displaying sales tax in your invoices.
Waiver of small business regulation
Regardless of the legal form, every company can use the small business regulation. But of course, you can also voluntarily waive this simplification.
Why would you voluntarily give up on this?
If you do not have to show sales tax, you cannot make use of the input tax deduction on your own invoices.
If it is worthwhile for you to take advantage of this benefit, you should voluntarily waive the small business regulation.
Also note here that if you voluntarily waive, you are bound to this decision for a total of 5 years!
How to create the small business invoice
tax compliant with easybill
easybill makes it easy for you. By specifying during account setup that you will work without VAT display, all document templates are designed to use pure net prices.
Due to the sales tax exemption, you are not allowed to show sales tax on your invoices. Since you are not subject to any input tax deduction, neither a sales tax amount nor a sales tax rate may be listed on the invoice.
However, you should still visibly indicate that you do not display any sales tax in accordance with §19 of the German Sales Tax Act (UStG). However, there is no prescribed wording here.
How to send the small business invoice correctly?
To submit your data correctly
You have created your tax-free invoice in easybill, but then what? How does the invoice get to your customer now?
Postal Mailing: Print your documents after creation or use the Post-Service by easybill. We print and send the invoices for you.
Email dispatch: Benefit from free email delivery for any document in your easybill account. By integrating your own outgoing mail server you send your mails directly via this and not via the easybill server.
Fax shipping: easybill also supports this service. Send documents directly from the account to your customers by fax. Of course, a transmission protocol is available here.
The only thing that is important for all transmission methods is that your documents are real, the content is unchanged and the whole document is readable for your customer. Then you are always on the safe side!
