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PEPPOL-EN16931-P0107 - Exemption code VATEX-EU-AE requires VAT category AE

The reason code VATEX-EU-AE signals that the buyer is liable for the VAT under the reverse charge mechanism. When it is used in BT-121, the VAT category code (BT-118) must be AE.

PEPPOL-EN16931-P0107 - Exemption code VATEX-EU-AE requires VAT category AE

The reason code VATEX-EU-AE signals that the buyer is liable for the VAT under the reverse charge mechanism. When it is used in BT-121, the VAT category code (BT-118) must be AE. This is a Peppol BIS Billing 3.0 rule. It applies on top of the EN 16931 core standard, on invoices exchanged over the Peppol network.

VAT - Reverse chargePeppol BIS 3.0BT-121 Error
This is a Peppol BIS Billing 3.0 rule. It applies on top of the EN 16931 core standard, on invoices exchanged over the Peppol network.

What this rule checks

The reason code VATEX-EU-AE signals that the buyer is liable for the VAT under the reverse charge mechanism. When it is used in BT-121, the VAT category code (BT-118) must be AE.

How to fix it

In the cac:TaxSubtotal concerned, set cac:TaxCategory/cbc:ID to AE and make sure both parties carry a VAT identifier.

Validate against this rule

This rule is part of EN 16931. Check your invoice with the validator that matches your format:

UBL / PeppolXRechnungFactur-X / ZUGFeRD

Related rules

BR-AE-01Reverse charge line needs an AE VAT breakdownBR-AE-08Reverse charge taxable amount must match the linesBR-AE-02Reverse charge: seller & buyer tax ID requiredBR-AE-03Reverse charge (allowance): seller & buyer tax ID requiredBR-AE-04Reverse charge (charge): seller & buyer tax ID requiredBR-AE-05Reverse charge: line VAT rate must be zero

Source: OpenPeppol BIS Billing 3.0 · Last verified: 2026-07-10

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