If you're a VAT vendor, the humble tax invoice does more work than it looks. It's the document that lets your customer claim input VAT — and the document you need to claim yours. Get the details wrong and SARS can disallow the claim, so it pays to know exactly what a valid tax invoice must show.
Full tax invoice (supplies over R5,000)
For a supply of more than R5,000, a full tax invoice must contain:
- The words "Tax Invoice", "VAT Invoice" or "Invoice".
- The supplier's name, address and VAT registration number.
- The recipient's name, address and (where they're registered) VAT registration number.
- A serial (invoice) number and the date of issue.
- A description of the goods or services supplied, and the quantity or volume.
- The value of the supply, the VAT charged, and the total — or the total with a statement that it includes VAT at 15%.
Abridged tax invoice (R50 to R5,000)
For supplies from R50 up to R5,000, an abridged tax invoice is allowed. It needs most of the same information, but you don't have to include the recipient's details. This is the everyday till-slip-style invoice for smaller transactions.
Supplies under R50
For supplies of R50 or less, you don't need a tax invoice at all to claim the input VAT — though you should still keep some record of the transaction, such as a till slip, for your own books.
Why it matters
SARS is entitled to disallow an input VAT claim that isn't backed by a valid tax invoice. That means an invoice missing your VAT number, or the customer's details on a large supply, can cost real money — either to you or to your customer. It's also a common audit finding, so getting invoices right the first time avoids awkward conversations later.
Make compliant invoices the default
The easiest way to never send a non-compliant invoice is to let your accounting software build them for you. When your invoices are generated from the system — with your VAT number, sequential numbering, the correct VAT breakdown and your branding already in place — every document that goes out meets the requirements without you having to check a list each time.
This guide is general information to help you get oriented — it isn't formal tax or legal advice. Thresholds, rates and deadlines change, so confirm the current figures on the SARS website or with your accountant before you act.