What a UK VAT invoice must include

If you’re VAT registered, your invoices must include specific information set by HMRC. Here’s what a compliant invoice needs — and the everyday questions that come up.

A full VAT invoice must include

• a unique, sequential invoice number
• your business name and address and your VAT number
• the invoice date and the time of supply (tax point) if different
• the customer’s name and address
• a description of the goods or services
• for each line: quantity, unit price (excluding VAT), VAT rate and amount
• the total net (excluding VAT), the VAT amount for each rate, and the total VAT
• the gross total payable

VAT rates

There are three VAT rates plus two situations where no VAT is charged:

• Standard (20%) — most goods and services.
• Reduced (5%) — specific supplies such as domestic fuel and some energy-saving work.
• Zero (0%) — still a taxable sale at 0% (e.g. most food, children’s clothes, books). It appears on your VAT return.
• Exempt — outside VAT altogether (e.g. insurance, finance, postage). This is not the same as zero-rated and is treated differently on your return.
• No VAT — you’re not registered, so VAT doesn’t apply at all.

The difference between zero-rated and exempt matters for your VAT return, so pick carefully.

VAT number

Your VAT number must appear on every VAT invoice. The UK format is GB followed by 9 digits (e.g. GB123456789). You’ll find it on your VAT registration certificate. Only show a VAT number if you’re actually registered.

Simplified invoices

If the total is £250 or less including VAT, you can issue a simplified (less detailed) invoice. It still needs your name, address and VAT number, the tax point, a description, and — for each rate — the VAT-inclusive total and the VAT rate. Exempt items can’t go on a simplified invoice.

Invoice numbering

Invoice numbers must be unique and sequential. You can use any format (e.g. INV-0001, 2026-100) but the sequence shouldn’t have unexplained gaps. The generator suggests the next number automatically and remembers your sequence on your device.

Tax point and supply date

The tax point (time of supply) is the date that decides which VAT period a sale belongs to. It’s often the invoice date, but it can differ — for example the date you completed the work or received an advance payment. Receiving a deposit can itself create a tax point, so record it carefully.

Invoices in a foreign currency

You can invoice in any currency, but for VAT purposes amounts must be expressed in pounds sterling. So a foreign-currency invoice must also show the total VAT in GBP. Use an acceptable exchange rate (for example the published HMRC rate or a UK market rate). The generator shows the GBP VAT total automatically once you set the currency and rate.