Advance invoice and tax invoice for a payment

An advance invoice requests payment before you supply goods or services. It is not an invoice under the Slovak VAT Act and therefore does not enter VAT reports. For a VAT-registered business, the tax liability arises on the day the payment is received (§ 19(4) of the Slovak VAT Act).

Issue an advance invoice

1. Open Advance invoices and click New advance invoice.
2. Fill in the customer and items as you would for a regular invoice.
3. Click Issue advance invoice and send it to the customer using Send by email.

When the advance arrives

Record the payment on the advance invoice detail using Record payment, or match it from a bank statement.

A VAT-registered business must issue an invoice for a received payment within 15 days of receipt (§ 73 of the Slovak VAT Act). Vystav calls it a tax invoice for a received payment. The advance invoice detail shows how much money received still needs a tax invoice and the deadline for issuing it.

1. On the advance invoice detail, click Tax invoice for payment.
2. Vystav issues one tax invoice for each payment that does not yet have one. Its supply date is the day the payment was received, and the amount is allocated according to the VAT rates on the advance invoice.
3. The document is marked as paid immediately. You will find it among your invoices.

A business that is not VAT registered does not issue a tax invoice for a payment and does not see the button. Money paid above the advance invoice amount is not payment for a supply: no tax invoice is issued for it, and the overpayment must be returned to the customer.

Final invoice after supply

1. On the advance invoice detail, click Issue invoice. This creates an invoice draft with the same items.
2. Vystav deducts the paid advance automatically. If a tax invoice exists for the payment, it adds its items with negative amounts so that VAT on the same payment is not paid twice. A payment without a tax invoice is deducted as a paid advance.
3. Check the draft and click Issue invoice. The customer pays only the difference.