Accounts Payable - Invoice Regulations
INVOICE REGULATIONS (mandatory)
Valid Invoice
Trinity College can only pay valid invoices received from a supplier. We cannot pay on statements, altered invoices, invoices not addressed to Trinity College, emails or typed invoices from departments. Departments will be notified directly upon receipt of the above and must request a new invoice from the supplier. This may result in the payment to the supplier being delayed.
Purchase Order
All suppliers should be issued with a purchase order form which includes Trinity College's Terms & Conditions. Please contact Dorota Chudzik (chudzid@tcd.ie, ext. 3323.) for a Purchase Order Book. See sample : Sample Order Form.
Please note we have updated our Purchase Order forms to include the web link for the College’s updated Terms & Conditions which are available on the procurement website - http://www.tcd.ie/procurement/downloads/TCD_Purchase_Ts_and_Cs.pdf
Statutory Legal Regulations
Each invoice is paid in accordance with the Statutory Legal Regulations governing Public Bodies, as prescribed by the Revenue Commissioners. They are:
1. Tax Clearance Certificates
This is written confirmation from the Revenue that a company’s tax affairs are in order at the date of issue. It is a requirement that a Tax Clearance Certificate is obtained from suppliers with whom more than €10,000 worth of business is placed in any 12-month period. Please inform suppliers at time of ordering of potential Tax clearance requirements. The Treasurer’s Office sends out letters after each payment to suppliers who require a tax clearance certificate.
Please see Tax Clearance Letter under AP Letters.
2. Professional Services Withholding Tax
This is a withholding tax deductible at standard rate of 20% tax from payments for “professional services” made to individuals and companies by College worldwide. The Treasurer’s Office sends out an F45 form with each payment and a letter explaining how to obtain a tax credit/repayment against their tax liability.
Please see Withholding Tax letters under AP Letters.
3. Construction Tax (Relevant Contract Tax)
College is obliged to operate a scheme of RCT on payments to sub-contractors. All types of construction/building works should go through the Director of Buildings Office. For more information please refer to the Taxation webpage https://www.tcd.ie/Treasurers_Office/tax/tax_rct.php
4. Late Payment in Commercial Transactions
College is obliged to pay late interest on invoices which are overdue by more than 30 days in line with EU legislation. The rate of interest is currently European Central Bank (ECB) base rate plus 7% and is calculated from the date the invoice was issued or value date, (if included on the Invoice Authorisation Form). The value date is the date of receipt of the invoice or date the goods/services are delivered, whichever is the later date.
http://www.entemp.ie/enterprise/smes/latepay.htm
Please complete the Invoice/Credit Note Authorisation Slip which can be found under Forms. If goods or services are received late please record the date of receipt i.e. value date on this form and interest if applicable will only be recorded 30 days from this date.
For more information please refer to the Revenue Commissioners home page www.revenue.ie or alternatively please see the Finance Manual for further information on all the above.