VAT Category Code (EN 16931)
The subset of UNCL 5305 mandated by the EN 16931 invoicing standard.
Definition
EN 16931 restricts UNCL 5305 to an allowed set of categories (S, Z, E, AE, K, G, O, L, M) and adds business rules: for example AE (reverse charge) requires BT-121 (exemption reason) and a 0% rate. The codes appear in BT-95, BT-102 and BT-118.
Origin
Defined by the European standard EN 16931-1 (CEN/TC 434), whose VAT category code list is a subset of UNCL 5305 from the UNTDID directory.
Example in context
UBL: <cac:ClassifiedTaxCategory><cbc:ID>AE</cbc:ID><cbc:Percent>0</cbc:Percent></cac:ClassifiedTaxCategory> together with a BT-121 'Reverse charge' reason.