VAT Codes on Invoices

Every invoice line in AI Finance Team carries five VAT fields: Partner VAT Group (on the invoice header), Product / Service VAT Group, VAT Rate, Calculation Method, and the resolved VAT code. This article explains how they are filled automatically, what the indicators mean, and how corrections work.

The five tables behind these fields are described in VAT master data.

Automatic Assignment During Extraction

When an invoice is extracted (upload, e-mail, or NAV Online), AI Finance Team classifies each line's VAT elements alongside its category:

  • The Partner VAT Group is taken from the partner when the partner is already tagged with one; otherwise it is inferred from the partner's country (domestic / EU / third country).
  • Product / Service VAT Group, VAT Rate, and Calculation Method are classified per line from the document — the rate from the printed VAT percentage, reverse charge from the invoice's wording, and so on.
  • With all five elements in place, the matching VAT code from your workspace's code table is assigned automatically for the invoice's VAT date.

Hungarian invoices arriving via NAV Online have machine-readable VAT data, which maps deterministically — no guessing involved.

The Two Indicators

  • Missing VAT code — the line's elements don't match any code in your table (or an element couldn't be determined). Invoices with such lines show a "VAT codes incomplete" status in lists and a banner on the invoice ("Missing VAT codes on N lines"). Add the missing code to your table — the fastest way is the add VAT code shortcut offered right there — or correct the line's elements.
  • Mismatch — the line has a code assigned, but its current elements no longer agree with that code's combination (typically after a manual override). This is a soft warning, not an error: the assigned code wins, and the icon just tells you the line was overridden.

Correcting VAT Fields

Accountants can correct any of the five fields on the invoice:

  • Change an element (group, rate, method) — the VAT code re-resolves automatically from the new combination.
  • Pick a VAT code directly — the line's elements are back-filled from the chosen code's combination and the line is marked consistent.
  • Change the header's Partner VAT Group or the VAT date — every line on the invoice re-resolves.

Corrections are remembered per workspace: if the same document is ever re-extracted, your manual VAT corrections survive and are not overwritten by the AI.

Partner VAT Group on Partners

The durable home of the Partner VAT Group is the partner, not the invoice. When creating or verifying a partner (Master data → Partners), set its VAT group once — every future invoice from that partner starts with the right group. An invoice-level override remains available for one-off cases (a normally-domestic partner invoicing from abroad, for example).

Foreign-Currency VAT

For invoices in a currency other than the entity's VAT-reporting currency, lines carry a VAT exchange rate and a VAT amount in reporting currency. Editing either recalculates the other, and both are available in exports.