errorEN16931

BR-Z-07:When using this VAT category, the VAT rate must be 0 (zero). This category does not have a positive tax rate.

When using this VAT category, the VAT rate must be 0 (zero). This category does not have a positive tax rate.

We can fix this automatically

AUTO-FIX

1. Find items with this category but non-zero rate. 2. Set rate to 0. 3. Or suggest different category if rate is intentional.

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Why This Error Matters

Invoice will be rejected. Zero rated VAT (category Z) requires seller VAT registration, 0% rate, and correct breakdown. Zero rate is different from exemption - it still requires tax compliance.

Common Causes

  • Zero rated charge has non-zero VAT rate
  • BT-103 must be 0 for category Z charge
  • Document charge Z category has positive rate
  • Zero rate charge needs 0% VAT percentage
  • Charge rate field not zero for Z category

Frequently Asked Questions

When using this VAT category, the VAT rate must be 0 (zero). This category does not have a positive tax rate.
When using this VAT category, the VAT rate must be 0 (zero). This category does not have a positive tax rate. You can also use Invoice Navigator's automatic Fixer tool to correct this instantly.
Yes, BR-Z-07 is a critical error that will cause invoice rejection. It must be fixed before submission to ensure your invoice is accepted.
Many instances of BR-Z-07 can be automatically corrected using Invoice Navigator's Fixer tool. Upload your invoice and the tool will identify and fix common issues.

See Also

Last updated: 16 January 2026

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