VATREC15020 - Other Invoicing arrangements: Self-billing: Legal basis
Regulation 13(3) of the VAT Regulations 1995, provides the legal basis:
13.(3) Where a registered person provides a document to himself (“a self-billed invoice”) that purports to be a VAT invoice in respect of a supply of goods or services to him by another registered person, that document shall be treated as the VAT invoice required to be provided by the supplier under paragraph (1)(a) if it complies with the conditions set out in paragraph (3A) and with any further conditions that may be contained in a notice published by the Commissioners or may be imposed in a particular case.
Regulations 13(3B) and 13(3C) specify further the conditions that are required for a valid self billing agreement and 13(3D) provides the legal basis for HMRC to impose further conditions, either in the Public Notice or in individual cases.
Notice 700/62 Self Billing describes the regulatory conditions in regulation 13(3A) and contains some additional rules made under the regulations.