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HMRC internal manual

VAT Traders’ Records Manual

Other Invoicing arrangements for particular businesses: Retailers: Combined full and less detailed invoice

Some registered traders may, in the course of their business, operate the normal method of tax accounting in one department and one of the retail schemes in another. For example, hoteliers may account for tax on their hotel accommodation charges under the normal accounting procedures, but use a retail scheme for bar sales. In certain circumstances a VAT registered customer may require a VAT invoice covering supplies from both sources.

If a trader operates two accounting systems he should be capable, when required, of issuing two separate VAT invoices to the customer, i.e. a:

  • less detailed VAT invoice in respect of retail sales; and
  • full VAT invoice in respect of non-retail supplies.

There is no objection to a supplier combining both types of VAT invoice in one document. But it is essential that, when this is done, the document clearly separates the full VAT invoice from the less detailed VAT invoice, and a copy of the whole document is kept by the supplier.