BR-AE-1
Reverse Charge: VAT Amount Must Be Zero
What This Error Means
When VAT category AE (Reverse Charge) is used, the tax amount (BT-117) in the TaxSubtotal must be 0.00. In a reverse charge scenario the buyer, not the seller, accounts for the VAT. Entering a non-zero tax amount contradicts the reverse charge mechanism and triggers this error.
Why this happens
BR-AE-1 fires when a TaxSubtotal uses VAT category AE (reverse charge) but reports a non-zero tax amount (BT-117). Under the reverse charge mechanism (§ 13b UStG) the buyer, not the seller, accounts for the VAT, so the seller's invoice must show 0.00 tax for the AE category. The error usually arises when software computes VAT for every line uniformly and forgets that AE lines must be set to zero, or when a 19% rate was mistakenly applied to a reverse-charge position.
How to Fix It
Set TaxAmount to 0.00 for all TaxSubtotal elements with category AE. Add TaxExemptionReason citing the applicable UStG paragraph (§ 13b UStG).
Step-by-step
1) For every TaxSubtotal with category AE, set TaxAmount (BT-117) to 0.00 and Percent to 0. 2) Keep the TaxableAmount (BT-116) as the net value of the reverse-charge supply — it stays non-zero. 3) Add a TaxExemptionReason such as 'Steuerschuldnerschaft des Leistungsempfängers, § 13b UStG'. 4) Make sure these AE lines are not also counted into a standard-rate (S) breakdown. 5) Re-validate; check that the document VAT total (BR-CO-13) reflects 0 for the AE portion.
<cac:TaxSubtotal>
<cbc:TaxableAmount currencyID="EUR">2000.00</cbc:TaxableAmount>
<cbc:TaxAmount currencyID="EUR">0.00</cbc:TaxAmount>
<cac:TaxCategory>
<cbc:ID>AE</cbc:ID>
<cbc:Percent>0</cbc:Percent>
<cbc:TaxExemptionReason>Reverse Charge § 13b UStG</cbc:TaxExemptionReason>
<cac:TaxScheme><cbc:ID>VAT</cbc:ID></cac:TaxScheme>
</cac:TaxCategory>
</cac:TaxSubtotal>Fix Automatically
Upload your invoice to our Smart Repair engine. It will detect and fix BR-AE-1 errors automatically with a GoBD audit trail.
Open Smart RepairFrequently asked questions
Why must the tax amount be zero for reverse charge?
Because the recipient, not the supplier, owes and reports the VAT. The supplier's invoice therefore states a 0.00 tax amount and notes the recipient's liability under § 13b UStG.
Should the taxable amount also be zero?
No. The TaxableAmount (BT-116) keeps the net value of the supply; only the TaxAmount (BT-117) is 0.00 and the Percent is 0.
Related Errors
Other commonly encountered validation errors