erroren16931

`BR-K-01`:Intra-community supply VAT treatment

VAT category K (intra-community) requires zero VAT and both party VAT numbers.

Severity

Fatal

Rule set

en16931

Country

All EU

Fix type

BLOCKED

Engine Classification

Financial or legal field · Modification blocked by policy

Reason: Intra-community supply (VAT category K) requires: zero VAT rate, valid VAT numbers for both seller and buyer from different EU countries, and proper exemption reason. This involves multiple cross-field validations and must be configured correctly in your source system.

What is BR-K-01?

BR-K-01 is a fatal validation rule defined in the en16931 specification. It validates the TaxCategory element in the UBL invoice XML.

When this rule fires, the invoice is non-compliant and will be rejected by Peppol access points and national validation services. The sending system receives a rejection response and the invoice does not reach the buyer.

Target path: XPath: //cac:TaxCategory[cbc:ID="K"]

This error requires manual correction — financial fields are protected by policy.Get API Access

Why This Error Matters

Intra-EU goods supplies have specific VAT exemption rules.

BR-K-01 is a hard failure. Invoices that trigger this rule are rejected at the access point and never reach the recipient. In Peppol networks, this means your sending system receives an MLR (Message Level Response) with a rejection status. The invoice must be corrected and re-sent, adding delay to your payment cycle.

Validator Behavior

·Causes invoice rejection
·Fails EN 16931 business rule validation
·Error returned: BR-K-01
·Specification: en16931

How to Fix It

Use K category

For intra-EU B2B goods supply

Zero percent

Intra-community is zero-rated for seller

Both VAT numbers

Seller and buyer must have valid EU VAT IDs

Add reason

Reference Article 138

XML Example

Generic example based on the rule's target XPath. Your actual XML structure may differ.

Before

<!-- Required block is missing -->
<!-- <cac:TaxCategory> ... </cac:TaxCategory> -->

After

<!-- Add the required block -->
<cac:TaxCategory>
  <!-- child elements -->
</cac:TaxCategory>

Technical Reference

XPathXPath: //cac:TaxCategory[cbc:ID="K"]

Specen16931

Code Example

<cac:TaxCategory>
  <cbc:ID>K</cbc:ID>
  <cbc:Percent>0</cbc:Percent>
  <cbc:TaxExemptionReasonCode>VATEX-EU-IC</cbc:TaxExemptionReasonCode>
  <cbc:TaxExemptionReason>Intra-community supply</cbc:TaxExemptionReason>
  <cac:TaxScheme>
    <cbc:ID>VAT</cbc:ID>
  </cac:TaxScheme>
</cac:TaxCategory>

Common Causes

·Buyer VAT not verified
·Wrong country buyer
·Missing reason

Seeing this in production? The API handles BR-K-01 automatically. See the fix response →

Commonly Seen In

All invoicing software

Frequently Asked Questions

VAT category K (intra-community) requires zero VAT and both party VAT numbers.

Configure intra-EU supply correctly. This error involves a protected field — Invoice Navigator flags it in your pipeline so your team can correct it at the source.

Yes, BR-K-01 is a critical error that will cause invoice rejection. It must be fixed before submission to ensure your invoice is accepted by the recipient's system.

BR-K-01 involves a financial or legal field that cannot be auto-modified by policy. Invoice Navigator detects and flags this error immediately, but the correction must be made manually in your ERP or invoicing software.

BR-K-01 is commonly seen in exports from All invoicing software. These software packages sometimes generate invoices that need adjustment to meet full compliance standards.

Detect BR-K-01 Before Submission

This error involves a financial or legal field that cannot be auto-modified. The compliance engine flags it immediately with a clear diagnosis so your team can fix it at the source.

Get API Access View API Documentation

BR-K-01:Intra-community supply VAT treatment