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Purchase invoice from supplier for sole proprietor with VAT exemption

GDR
05/07/2022
Question

As a sole proprietor exempted from VAT, do I have to question my supplier to include my VAT number, company number, etc. on their invoice, or is my name sufficient? As a sole proprietor exempted from VAT, can I simply make purchases as a private person, so to speak? Is there a difference if my supplier is subject to VAT (1), also a sole proprietor exempted from VAT (2), or a private person (3)?

  1. As a sole proprietor exempted from VAT, do I need to ask my supplier to include my VAT number, company number, etc. on their invoice, or is my name sufficient?

    Your name is sufficient. It is useful to also include the name of your business to distinguish it from personal expenses. Address, company number and other details are optional but not required.

  2. As a sole proprietor exempted from VAT, can I simply make purchases as a private person, so to speak?

    It is best to keep your personal and business purchases separate. As soon as you make a purchase for your business (i.e. enter the purchase in your accounts), the tax authorities have the right to inspect that invoice during an audit.
    Does it make a difference whether my supplier is subject to VAT (1), also a sole proprietor exempted from VAT (2), or a private person (3)?<br /It does not make much difference to you. For example, you can even enter a mobile phone that you purchase second-hand from a private person but use professionally. Make sure you generate a proof of sale with the name, date, and signature of the seller.


    Additions/corrections are welcome.


Thank you!

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