Invoice numbering requirements

[ctrlbrk]

I am setting up invoicing in my Stripe account and this caught my eye in Stripe's documentation (emphasis in bold mine):

Invoice numbering​

Stripe automatically generates invoice numbers to help track and reconcile invoices. Invoice numbers have a prefix and suffix, such as 586A2E-0139 or MYSHOP-1203. (The full invoice number is always unique across your account in both schemes.) Stripe supports two invoice numbering schemes:

• Sequentially for each customer (customer-level)—Uses a unique prefix for each customer and assigns invoice numbers sequentially for a given customer.
• Sequentially across your account (account-level)—Uses the same prefix for every customer and assigns invoice numbers sequentially across your entire account.

Stripe chooses a default behavior based on the country your Stripe account is based in. European Union member countries and the United Kingdom typically require account level sequencing.

and then

Caution​

Invoice requirements vary by jurisdiction. Consult with a professional for guidance on your specific use case. You’re responsible for verifying that the invoices you issue meet local tax requirements.

But, checking both the relevant UK or EU guidance, there is nothing that mentions how invoice sequencing should be set up, although Stripe says otherwise.

The only thing that both UK and EU guidance says is that each invoice should have a unique number and, in the EU case, that this number should be sequential.


Am I missing something?

Thanks

 

[DontAsk]

If you are VAT registered there are invoice numbering requirements for VAT invoices. They must be sequentially numbered from one or more series. So you could use either method.

See https://www.gov.uk/guidance/record-keeping-for-vat-notice-70021#vat-rules

 

[ctrlbrk]

Thanks @DontAsk, that was my understanding too - yet it seems at odds with Stripe's position that "European Union member countries and the United Kingdom typically require account level sequencing.".

The way I read their statement is that according to UK/EU guidance I should not set invoice sequencing at customer level but I need to do it at account level.

Funny that in the EU/UK guidance Stripe themselves link to, nothing of the sort is mentioned.

 

[GLAbusiness]

If you have a small number of customers most of whom are repeats then customer level sequencing makes it easier to track the position of each customer.

At the other end of the scale if you have a large number of customers with few repeats then customer level sequencing is pointless. Account level sequence is much simpler for this situation.

 

[ctrlbrk]

If you have a small number of customers most of whom are repeats then customer level sequencing makes it easier to track the position of each customer.

At the other end of the scale if you have a large number of customers with few repeats then customer level sequencing is pointless. Account level sequence is much simpler for this situation.

Thanks GLAbusiness - I was more concerned about what the regulations say rather than looking for general guidance.

Stripe seems to think I have to have sequential numbering at account level for UK/EU customers, regardless of the size of the business.

Maybe their documentation is overkill?

 

[GLAbusiness]

No Problem.

I actually use project level sequencing. So if I do 2 projects for the same customer I use one sequence for each project. This is enabled by one check box in FreeAgent. so they obviously take a different view from Stripe.

 

[GLAbusiness]

This staes that you can run more than one sequence at the same time:

VATREC5020 - VAT invoice: VAT Invoices for Northern Ireland intra-EC supplies - HMRC internal manual - GOV.UK

www.gov.uk

 

[ctrlbrk]

This staes that you can run more than one sequence at the same time:

VATREC5020 - VAT invoice: VAT Invoices for Northern Ireland intra-EC supplies - HMRC internal manual - GOV.UK

www.gov.uk

Yes, both VAT guidance docs posted in this topic essentially provide the same guidance.

They seem to be just a bit more restrictive than the general guidance which applies also to non-VAT registered businesses.

In no documentation have I found what Stripe is talking about, however.