If you need to enter a received invoice from an EU VAT payer with proportional VAT deduction (pro-rata) in a Slovak company, follow the steps below.
📘 Base Example
Base amount: 1,000 EUR
VAT (23%): 230 EUR
Total document value: 1,000 EUR (note: under the reverse charge mechanism)
Under the reverse charge mechanism, VAT is not stated as a separate amount to be paid — the base amount (excluding VAT) is treated as the net value of the document.
🧾 Document Entry Procedure
The document must be line-item based, split into two lines:
Line | Description | Base Amount | VAT (notionally calculated) | VAT Lines Used | Control Statement |
Line 1 | Portion eligible for VAT deduction | 800 EUR | 184 EUR | 005–008, 018–019 (typical for reverse charge) | B.1 |
Line 2 | Portion not eligible for VAT deduction | 200 EUR | 46 EUR | 005–008 R | B.1-KR |
Note: the letter "R" on the VAT line denotes the portion not eligible for deduction under the reverse charge mechanism.
📊 How the Values Are Reflected in the VAT Return and Control Statement
In the VAT return:
• Line 07 → tax base: 1,000 EUR
• Line 08 → tax: 230 EUR
• Line 19 → portion of VAT actually claimed as deductible: 184 EUR
• Total reported VAT = 46 EURIn the control statement:
• Base amount = 1,000 EUR
• Tax = 230 EUR
• Actual VAT deduction = 184 EUR
This procedure ensures that the "pro-rata" portion (46 EUR) is recorded as reported VAT, the remainder (184 EUR) is deducted, and the total document values are correctly stated in the control statement.
The specified combination of VAT lines and control statement lines guarantees that the correct values are displayed in both the VAT return and the control statement.
💡 Recommendations
Use line-item documents to allow precise differentiation between portions with and without deduction.
When reviewing tax returns, always verify that only the eligible portion has been included in the VAT return.
Before submission, we recommend also checking the control statement — items B.1 and B.1–KR should contain the correct amounts.