When submitting an EU VAT recovery claim (under the 8th Directive), goods and services must be reported using standardized EU codes instead of descriptive names. These codes are harmonized across all EU member states and ensure consistent processing of claims.
For example:
Germany -> Accommodation → Code 6
Germany -> Fuel → Code 1
Some countries like Italy require further detail (e.g., Italy -> 1.2.1 -> Petrol for cars, 1.2.2 -> Diesel for cars).
VAT4U automatically maps invoice items to the appropriate EU codes, so users do not need to enter them manually. However, expert users may adjust these codes if needed.
Where to Find and Edit EU Codes
Open your claim in Draft status.
Codes can only be changed while the claim is in draft. Once queued or submitted, the codes cannot be modified.
Go to the Risk Assessment tab.
Scroll down to see all the categories included in the claim along with their assigned EU codes.
To change a code, click the pen icon next to it.
Select or enter the new code (e.g., change 6.1 to 6.2.1).
Click OK to confirm.
How Changes Work
The change applies to all items within invoices currently assigned to the selected code.
Example: If you change 6.1 (Accommodation) to 6.2.1, all items with code 6.1 will be updated to 6.2.1.
Other codes (e.g., minibar with code 9) remain unchanged.
Once confirmed, the operation is irreversible.
You can reapply the old code manually if needed, but there is no automatic “undo.”
An audit log is stored for every change.
It records the old code, the new code, the date, and the user who made the change.
Example: “Expense code modified: Old code 6.1 → New code 6.2.1 by [username].”
Who Should Use This Feature?
This functionality is designed primarily for expert users who understand EU coding requirements.
Experts: Can optimize codes for specific countries where sub-codes or sub-sub-codes are required for VAT recovery.
Non-experts: Can rely on VAT4U’s automated mapping and should avoid manual changes unless instructed.