Source: PINT-AE BIS Invoice v1.0.2 Schematron

Rule at a Glance

ID Severity Context (XPath)
BR-06 Fatal (error) ubl:Invoice
Series reference: BR-06  |  Schematron ID: ibr-077

Classification

Transaction Data — This rule validates a header-level financial field that governs how VAT amounts are reported when the transacting parties use different currencies for invoicing and VAT accounting purposes.

What the Rule Is Checking

BR-06 applies when the optional field cbc:TaxCurrencyCode (BT-6) is present on the invoice. When a VAT accounting currency code is provided, it must be different from the invoice currency code in cbc:DocumentCurrencyCode (BT-5). If BT-6 equals BT-5, the rule fails fatally.

The rule does not require BT-6 to be present. It is only triggered when the element exists. In the majority of UAE invoices denominated and accounted for in AED, BT-6 is absent and BR-06 does not fire.

Why This Rule Exists

The VAT accounting currency code field exists to handle transactions where a supplier invoices in a foreign currency but must report VAT to the FTA in AED. UAE VAT legislation requires VAT to be expressed in AED when the invoice is issued in a foreign currency. In that scenario, BT-5 would carry the foreign currency (e.g., USD) while BT-6 would carry AED, enabling the receiving system to present both the commercial amount and the VAT amount in their respective currencies.

If BT-6 were permitted to equal BT-5, the field would be redundant and could cause downstream systems to apply erroneous currency conversion logic. The fatal severity ensures no ambiguous dual-currency invoices enter the UAE Peppol network.

Standard / Code List

Both BT-5 and BT-6 must carry valid ISO 4217 currency codes. The UAE dirham is AED. See the reference post ISO 4217 Currency Codes in UAE E-Invoicing for the full code list context.

When a UAE supplier invoices a foreign buyer in USD and reports VAT in AED, the header carries both codes:

BT-5 (DocumentCurrencyCode): USD
BT-6 (TaxCurrencyCode): AED

UAE Data Example

PASSES ✓ — Foreign currency invoice with AED VAT accounting:
<cbc:DocumentCurrencyCode>USD</cbc:DocumentCurrencyCode>
<cbc:TaxCurrencyCode>AED</cbc:TaxCurrencyCode>

PASSES ✓ — AED-only invoice with no TaxCurrencyCode (most common UAE case):
<cbc:DocumentCurrencyCode>AED</cbc:DocumentCurrencyCode>
<!-- No cbc:TaxCurrencyCode element — BR-06 does not fire -->

FAILS ✗ — TaxCurrencyCode equals DocumentCurrencyCode:
<cbc:DocumentCurrencyCode>AED</cbc:DocumentCurrencyCode>
<cbc:TaxCurrencyCode>AED</cbc:TaxCurrencyCode>

What Your ERP / IT Team Must Ensure

  • For AED-denominated invoices, do not populate BT-6 at all. Leaving cbc:TaxCurrencyCode absent is correct and avoids BR-06.
  • For foreign-currency invoices where VAT must be reported in AED, populate BT-6 with AED and ensure BT-5 carries the transaction currency (e.g., USD, EUR).
  • ERP currency configuration that defaults TaxCurrencyCode to the same value as DocumentCurrencyCode must be suppressed in the UBL mapping layer — the element should only be emitted when the two currencies genuinely differ.
  • When BT-6 is present, the UBL XML must also include tax subtotals expressed in BT-6 currency. Verify that the XML builder populates cac:TaxTotal with the AED-converted VAT amount alongside the foreign-currency tax total.
  • Exchange rate declarations (MD 243 Article 6 obligation) interact with this field — ensure the exchange rate used to derive the AED VAT amount is documented in the invoice data per FTA requirements.

Related Rules

BR-05 (Invoice currency code mandatory), ISO 4217 Currency Codes, UAE Exchange Rate Obligation BTAE-04