How does the § 14 check work exactly (what is possible and what is not)?
The § 14 check in Candis verifies incoming invoices for the mandatory information required under § 14 of the German VAT Act (UStG) and — for small-value invoices — under § 33 of the VAT Implementation Regulation (UStDV).
The goal is to identify incorrect or incomplete invoices at an early stage, allowing users to request corrections from suppliers in time and thereby ensure a compliant basis for input VAT deduction.
What the check can do
Candis automatically validates all mandatory fields that can be detected and verified through automated and AI-assisted processing. These include:
Name and address of the supplier and recipient
Supplier’s tax number or VAT identification number
Invoice date
Date of supply or service (if different from the invoice date)
Net, tax, and gross amounts
Applicable VAT rate
Reference to tax exemption or special rule (e.g., reverse charge)
For simplified invoices (up to €250 including VAT), Candis checks the corresponding reduced mandatory fields in accordance with § 33 UStDV.
If the invoice amount is stated in a foreign currency, it is converted into euros in the background to determine whether it falls below the €250 threshold and thus qualifies for the simplified requirements.
The original currency and the amount shown on the invoice remain unchanged.
Candis also takes special cases into account, such as:
Reverse charge (§ 13b UStG)
VAT exemptions (§ 4 UStG, e.g., exports, postal services, rentals)
Automatic exemptions where no explicit reference is required
Candis can also detect acceptable deviations, for example:
Missing country name if the address is still clearly identifiable
Slight variations in the recipient’s name
Missing service date if it matches the invoice date
0% VAT without explanation → warning instead of error
These cases generate non-blocking warnings, which recommend manual review but do not interrupt the process.
What the check (currently) cannot do
Validation of line-item data (e.g., quantities, item descriptions, sequential invoice numbers)
Special cases for travel expenses or mobile payments (Travel & Mobile not yet integrated)
E-invoice formats such as XRechnung or ZUGFeRD (currently not automatically validated)
Legal interpretation in ambiguous cases – Candis performs only technical and formal validation
Important note:
The § 14 check supports the formal validation of invoices but does not replace tax or legal assessment.
An invoice that passes the check is not automatically legally compliant.
Responsibility for the correctness of bookkeeping and the proper application of VAT remains with the company.
Who is the check relevant for – and why?
Target group
The § 14 check is designed for requesters who handle incoming invoices and prepare them for approval.
It helps them identify formal errors early on and, if necessary, request corrections from suppliers before the invoice proceeds to approval or posting.
Relevance
The validation under § 14 of the German VAT Act (UStG) is essential because only compliant invoices entitle a company to input VAT deduction (§ 15 UStG).
Incorrect or incomplete invoices can result in:
Loss of input VAT deduction
Back payments or interest charges
Accounting records being deemed non-compliant
Candis minimizes this risk by detecting potentially incorrect invoices before posting and providing guidance for correction.
What changes in users’ day-to-day work?
Before
Manual review of each invoice by accounting staff
Risk that incomplete invoices might be booked unnoticed
High effort and uncertainty in assessing special cases (e.g., reverse charge)
After introducing the § 14 check
Automatic validation of all relevant invoice data
Direct notifications and warnings in the invoice overview
Fewer follow-ups with suppliers and accounting teams
Improved data reliability during tax audits (e.g., GoBD or external audits)
In summary
The § 14 check saves time, reduces tax risks, and improves the quality of accounting data — without assuming any tax responsibility or providing legal guarantees.