1. Localizations for European Reporting and SEPA Processing Implementation Guide
  2. Considerations for Country Codes

Considerations for Country Codes

The address book records for your customers and companies might include more than one country code. For example, the value that exists in the Country Code field (data item CTR) might be different from the country prefix associated with the VAT registration ID that exists in the Tax ID field (data item TAX). If the country codes in the Country Code and Tax ID fields are different, the system assigns the country code from the Tax ID field when it writes records to the F740018D table. If no country code precedes the VAT registration ID, the system uses the code in the Country Code field.

Address book records might exist in your system in which the value in the Country Code field is for a country outside of the EU, but the country prefix in the Tax ID field is for a country within the EU. The EU sales list report includes the sales transactions for these records.

For example, suppose that:

  • The address book record of your company has BE (Belgium) in the Country Code and Tax ID fields.

  • The address book record of the final client (the ship-to address of your customer) has US (United States) for the code in the Country Code field, and has FR (France) as the prefix for the VAT registration ID in the Tax ID field.

The system includes the sales transaction as a reportable transaction because the system uses the value in the Tax ID field instead of the value in the Country Code field when the country codes are different. In this example, because the Tax ID field of the ship-to address book record includes an EU-member country, the sales transaction is included in the extract file.

The system uses the value in the Tax ID field for transactions between two EU-member countries, as well as when three EU-member countries are involved in the transaction. When three EU-member countries are involved, the transaction is classified as triangulation.