# BR-Z-03

> An Invoice that contains a Document level allowance (BG-20) where the Document level allowance VAT category code (BT-95) is "Zero rated" shall contain the Seller VAT Identifier (BT-31), the Seller tax registration identifier (BT-32) and/or the Seller tax representative VAT identifier (BT-63).

Checked against Peppol BIS Billing 3.0 2026.5

Canonical: https://einvoicecheck.eu/rules/br-z-03

## Official rule text

An Invoice that contains a Document level allowance (BG-20) where the Document level allowance VAT category code (BT-95) is "Zero rated" shall contain the Seller VAT Identifier (BT-31), the Seller tax registration identifier (BT-32) and/or the Seller tax representative VAT identifier (BT-63).

## Why did my invoice fail BR-Z-03?

When a document-level allowance (BG-20) uses VAT category code "Z" (Zero rated) in BT-95, the invoice must identify the seller for tax purposes via the Seller VAT identifier (BT-31), Seller tax registration identifier (BT-32), and/or Seller tax representative VAT identifier (BT-63). This mirrors the line-level requirement so that any zero-rated amount is tied to a registered tax identity.

## Common causes

- A document-level allowance is marked category Z but the seller has no VAT/tax identifier on the party.
- Seller VAT ID exists in the wrong element (e.g. Endpoint or PartyIdentification) rather than PartyTaxScheme/CompanyID.
- Tax representative scenario without BT-63 populated.
- Wrong VAT category code applied to the allowance.

## How do I fix it?

```
Ensure the seller party carries a tax identity, e.g. <cac:PartyTaxScheme><cbc:CompanyID>DE123456789</cbc:CompanyID><cac:TaxScheme><cbc:ID>VAT</cbc:ID></cac:TaxScheme></cac:PartyTaxScheme>.
```