Element type: Required for Triangulation

Endpoints/models used: TransactionParameterModel, TransactionLineParameterModel

Your integration must allow users to specify whether a purchase or sales transaction is part of a triangulation transaction, or where the transaction being sent is related to a prior or subsequent supply of goods. This is done using the IsTriangulation parameter in the TransactionParameterModel or TransactionLineParameterModel.

Triangulation occurs when there are three companies involved in a single supply of goods, and they’re all in three different EU countries. For example, a French company with a French VAT Registration sells some goods to a German customer, but the French company first has to buy the goods from a Spanish supplier before shipping directly to the Germany customer. This would require the French company to VAT register itself in Spain for Spanish VAT to record the purchase and onward dispatch (sale) to the Germany customer. (The French company could also register for Germany VAT to do the same.)

To avoid creating a need for many companies to register like this, a Triangulation Simplification exemption was created within EU VAT law, which is implemented across all member states so that the French company doesn’t have to register for VAT in Spain.

View example

Enable triangulation