Now, a lot of people issue VAT invoices as standard to all customers. There are a couple of simple requirements you have to follow to be a valid VAT invoice, but they are generally simple enough. Whether you issue them or not, you have to charge for and account for VAT. Ironically one company we have issue with (to the extent that it was an issue in a VAT inspection) is BT as they send invoices in RTF not PDF and it prints without their letterhead so does not have BT's VAT number, arg.
The discussion came up in irc today because, apparently, EE, are changing from sending people VAT invoices to sending statements and you can say you want a VAT invoice instead.
I have seen this with other telcos, and even on supermarkets and shops. Some shops print a receipt that has all of the details to be a formal VAT invoice with the line at the end "THIS IS NOT A VAT RECEIPT" (which strangely enough can get cut off!). This is extra work (extra ink and paper in that case) and means anyone needing a VAT invoice (to reclaim VAT) has to ask to get VAT invoices. In supermarkets like Tesco you have to go to the customer service desk to get one.
What I do not understand is WHY?
Why is it somehow some advantage for a company not to issue VAT invoices/receipts as standard? It is not a procedural thing as some actually include all the details and add the extra line to make it not a VAT invoice. It makes extra work, not less. So why do they do it. What trick am I missing.
There are a few occasions that it makes sense. At A&A we have a home tariff and one of the terms is that it is for non VAT registered customers. This is a simple way to differentiate most business users and easy to enforce by simply not issuing a VAT invoice. But that is a deliberate tariff choice and not something we do generally and clearly not why EE, or Orange, or Tesco, or many many other suppliers don't simply issue a VAT invoice?
There must be a reason...