Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

What are types 1, type 2 and type 3 transactions?

April 26, 2017transactions type types

0

Posted

What are types 1, type 2 and type 3 transactions?

1 Answer

0

Posted

Type 1 transactions do not show VAT on the terminal receipt issued to the customer at the time of purchase. Type 2 transactions and Type 3 transactions show VAT and the line item detail of the transaction as well. These types of transactions are important because the information at the time of purchase flows through the bank’s records and the back office software to the finance system and so can be viewed by the purchasing team.