Help centre

Self-billing FAQs

100 clear answers on UK self-billing, VAT, the CIS domestic reverse charge, CIS deductions and using Apex Billing UK. This is general information, not tax advice.

Self-billing basics VAT and self-billing Reverse charge and CIS Getting started with Apex Billing Managing suppliers Raising and sending invoices Payments, aging and statements Supplier portal and dual roles Pricing, plans and billing Security, data and compliance

Self-billing basics

What is self-billing?

Self-billing is an arrangement where the customer (the buyer) prepares the invoice on behalf of the supplier and sends them a copy, instead of the supplier issuing it. The customer accounts for the transaction and pays the supplier.

How does self-billing work?

The two businesses sign a self-billing agreement, then for each supply the customer raises a compliant invoice on the supplier's behalf, applies the correct VAT, sends the supplier a copy, and pays them. The supplier does not issue their own invoice.

Who uses self-billing?

It is common in construction (main contractors paying subcontractors), recruitment agencies paying contractors, royalties and commission, scrap metal and recycling, and marketplaces or platforms paying many small sellers — anywhere the customer knows the figures before the supplier does.

Is self-billing legal in the UK?

Yes. HMRC permits self-billing provided specific conditions are met, including a written self-billing agreement and the supplier being VAT registered where VAT is involved.

What is a self-billing agreement?

A written agreement between the customer and supplier, made before any self-billed invoice is raised, in which the supplier agrees to accept the invoices the customer issues on their behalf and not to raise their own for those supplies.

How long does a self-billing agreement last?

Agreements are normally reviewed every 12 months, or aligned to the length of the contract between the parties, and renewed to keep the arrangement valid.

What is the difference between self-billing and normal invoicing?

In normal invoicing the supplier issues the invoice to the customer. In self-billing the roles reverse: the customer prepares the invoice on the supplier's behalf and sends them a copy.

Why would a customer raise invoices for a supplier?

Because the customer often calculates the final amounts — for example a main contractor who measures the work done, or an agency working from timesheets — so it is faster and more accurate for them to raise the invoice.

Do both parties need to agree to self-billing?

Yes. Self-billing only works with the supplier's consent through a signed agreement. Either party can end the arrangement, and the customer keeps a record of every supplier they self-bill.

Can self-billing be done electronically?

Yes. Self-billing agreements and self-billed invoices can be created, signed and stored electronically, which is how modern self-billing software such as Apex Billing UK operates.

VAT and self-billing

What must a self-billed invoice show for VAT?

It must show the supplier's and customer's names, addresses and VAT registration numbers, a unique sequential number, the tax point, a description, the net, VAT rate and VAT amount, the mark "self-billing", and the statement "The VAT shown is your output tax due to HMRC".

Which UK VAT rates apply to self-billed invoices?

The same rates as any invoice: 20% standard, 5% reduced, 0% zero-rated, or exempt, plus the domestic reverse charge for qualifying construction services.

What is the "output tax" statement on a self-billed invoice?

HMRC requires the wording "The VAT shown is your output tax due to HMRC" so the supplier is clear the VAT on the document is theirs to account for.

Who accounts for the VAT under self-billing?

The supplier accounts for the output VAT shown on the self-billed invoice, and the customer reclaims it as input VAT, subject to the normal rules.

Does the customer charge VAT to themselves?

No. On a standard-rated supply the customer pays the VAT to the supplier and reclaims it as input tax; under the reverse charge no VAT is paid and the customer accounts for it on their return.

What happens if the supplier deregisters from VAT?

The supplier must tell the customer, and VAT self-billing must stop until the position is resolved, because self-billing for VAT relies on the supplier being VAT registered.

Can you self-bill a supplier who is not VAT registered?

You can raise a self-billed document, but no VAT is shown or reclaimed. VAT self-billing specifically requires the supplier to be VAT registered.

What is a tax point on a self-billed invoice?

The tax point is the date the supply is treated as taking place for VAT purposes, which determines the VAT period the transaction falls into.

How is VAT displayed on a self-billed invoice?

The invoice shows the net amount, the VAT rate and amount, and the gross total, with a clear breakdown so both parties can account for the VAT correctly.

Do I need to keep records of self-billed invoices for VAT?

Yes. You must keep copies of the self-billed invoices and a record of the suppliers you self-bill, ready for HMRC inspection.

Reverse charge and CIS

What is the CIS domestic reverse charge?

It is a VAT accounting rule for construction services under the Construction Industry Scheme: instead of the supplier charging VAT, the customer accounts for it on their VAT return.

When does the domestic reverse charge apply?

It applies to standard or reduced-rated construction services between VAT-registered businesses reported under CIS, where the customer is not an end user.

What VAT rate does the reverse charge use?

The reverse charge applies at the rate the supply would otherwise carry — 20% standard or 5% reduced. Apex Billing UK supports both.

Is VAT charged on a reverse-charge invoice?

No physical VAT is added to the price. The invoice shows the net value and states that the customer will account for the VAT to HMRC.

What wording is required on a reverse-charge invoice?

The invoice must state that the reverse charge applies, for example "Reverse charge: we will account for and pay the output tax due to HMRC", and show the VAT amount or rate the customer must account for.

What is the Construction Industry Scheme (CIS)?

CIS is an HMRC scheme under which contractors deduct money from a subcontractor's payments and pass it to HMRC as advance payments towards the subcontractor's tax and National Insurance.

What are the CIS deduction rates?

CIS deductions are usually 20% for registered subcontractors, 30% for unregistered subcontractors, or 0% for those with gross payment status.

Is CIS the same as the VAT reverse charge?

No. CIS is a tax deduction from the subcontractor's labour payment, while the reverse charge is a VAT accounting mechanism. They often apply together on construction jobs.

How is a CIS deduction calculated?

The deduction is applied to the labour element of a payment, excluding materials and VAT, at the subcontractor's CIS rate.

Does Apex Billing handle CIS and the reverse charge?

Yes. You can flag a supplier for the reverse charge at 20% or 5%, record CIS deductions, and the invoice and VAT report handle the output and input entries for you.

Getting started with Apex Billing

What is Apex Billing UK?

Apex Billing UK is self-billing software for UK businesses. It lets you raise self-billed invoices on your suppliers' behalf, apply the correct VAT, send each supplier a copy, and keep VAT-return-ready records.

How do I get started?

Create an account, choose a package, add or import your suppliers, and raise your first self-billed invoice — either one at a time or in bulk from a CSV.

How much does it cost to start?

Plans start from £4.99 a month. You can pay monthly, or choose annual billing and get two months free.

Do I need a card to sign up?

You pay by card through Stripe when you sign up, and you can cancel any time before your plan renews.

Can I import my existing suppliers?

Yes. Upload a CSV and Apex Billing previews which suppliers already exist and which it will create, then imports them along with the invoices.

Do my suppliers need to do anything to get started?

No. You can create suppliers and raise and send invoices with no involvement from the supplier at all. They can optionally create a free account later.

Is there a sample CSV to help me import?

Yes, a sample CSV is provided so you can see the expected columns — supplier details, VAT number, dates, net amount, VAT rate and any deduction — and fill in your own.

How quickly can I raise an invoice?

In a couple of minutes: add a supplier, enter the line and amount, and the VAT, numbering and required wording are applied automatically.

Is Apex Billing suitable for my industry?

It suits any UK business that self-bills, with specific support for construction (CIS and the reverse charge), recruitment, royalties, scrap and marketplaces.

Can I try it before committing?

Yes — there's no long contract, so you can start, send real invoices, and cancel any time if it's not for you.

Managing suppliers

How do I add a supplier?

Use the Add supplier form to enter their name, contact details, VAT status and VAT number, default VAT treatment and agreement dates, or import several at once from a CSV.

Is a VAT number required for a supplier?

If you mark a supplier as VAT registered, their VAT number is required, because self-billing for VAT depends on a valid registration.

What if a supplier is not VAT registered?

You can still add them and raise documents, but no VAT is applied. You set their VAT status when you create the supplier.

Can I set a default VAT treatment per supplier?

Yes. Each supplier can have a default treatment — 20%, 5%, 0%, exempt, or the reverse charge — which pre-fills when you raise an invoice for them.

Can I delete a supplier?

No. To protect your records you cannot delete a supplier; you deactivate them instead, and you can reactivate them at any time.

What happens when I deactivate a supplier?

They are hidden from new invoicing and, if they have an account, they stop seeing new activity for that connection — but the historical records remain.

How are suppliers matched during import?

Apex Billing matches suppliers by their VAT number, so existing suppliers are reused and only genuinely new ones are created.

Can I invite a supplier to connect?

Yes. You can invite a supplier by email to create a free account and connect, after which they can view, approve and mark their invoices as paid.

What is a supplier agreement expiry reminder?

Apex Billing tracks each self-billing agreement's expiry and flags suppliers whose agreement is due to lapse, so cover never runs out unnoticed.

Can one supplier be linked to several of my records?

A supplier account can be linked to the supplier records that different customers hold for them, so they see all their invoices in one place.

Raising and sending invoices

How do I raise a single invoice?

Open Raise invoice, pick a supplier, enter the description, net amount, VAT treatment and any CIS deduction, set the dates, and the total is calculated live before you save.

Can I raise many invoices at once?

Yes. Upload a CSV to bulk-import a month of invoices; you preview the suppliers and the full invoice table before confirming.

How are invoice numbers generated?

Each invoice gets a unique sequential number per business (for example SB-000123), which is required for a valid VAT invoice.

Is the "self-billing" marking added automatically?

Yes. Every self-billed invoice carries the required marking and the supplier's VAT details without you having to add them manually.

How are invoices sent to suppliers?

A PDF copy is emailed to the supplier through SMTP2GO the moment the invoice is raised, and connected suppliers can also download it from their portal.

What does the invoice PDF look like?

A clean, professional PDF showing the supplier on the left, the customer on the right, the line items, VAT breakdown and a clear total.

Can I download an invoice as a PDF?

Yes. Every invoice can be downloaded as a PDF, named with the supplier, invoice number and date for easy filing.

Can I export my invoices?

Yes. You can export all your invoices to CSV for your accounts package or records at any time.

Can I raise an invoice for a supplier with no account?

Yes. Most suppliers never create an account; you create the supplier and raise and send invoices entirely on your side.

Does the invoice show CIS deductions?

Yes. Where a CIS deduction applies it is shown separately, and the total payable to the supplier reflects the deduction.

Payments, aging and statements

How do I record that I have paid an invoice?

As the customer you can record a payment against an invoice, which marks it as paid and updates your records and the supplier's view.

Can a supplier mark an invoice as paid?

Yes. A connected supplier can approve invoices and mark them paid when they receive payment, so both sides stay in sync.

What is invoice aging?

Aging groups unpaid invoices by how close they are to their due date — overdue, due in 30, 60 or 90 days — so suppliers can see what is outstanding.

What is a remittance advice?

A remittance advice is a document the customer sends the supplier listing the invoices a payment covers and the total remitted. Apex Billing can generate and email one.

What is a supplier statement of account?

A statement lists all invoices a customer has raised for a supplier, with paid, outstanding and overdue totals. Suppliers can download or be emailed one.

Can suppliers see which invoices are overdue?

Yes. The supplier portal shows an aging dashboard highlighting overdue invoices and what is due soon.

Does marking an invoice paid affect VAT?

Payment status is separate from VAT accounting; VAT is determined by the tax point, not the payment date, but paid status feeds statements and remittances.

Can I email a statement or remittance to the other party?

Yes. Both statements and remittance advices can be downloaded as PDFs or emailed via SMTP2GO.

Can I undo a recorded payment?

Yes. If a payment was recorded in error you can mark the invoice unpaid again.

How does aging handle invoices with no due date?

Invoices without a due date are grouped under a later bucket rather than being treated as overdue.

Supplier portal and dual roles

What can a supplier do in the portal?

A supplier can see every invoice raised for them across their customers, approve invoices, mark them paid, view an aging dashboard, and download statements.

Is a supplier account free?

Yes. Supplier accounts are free. Only the customer side, which raises invoices, is on a paid plan.

How does a supplier get an account?

They can sign up free, or accept an emailed invitation, or use the optional link on an invoice email to create an account.

Can one business be both a customer and a supplier?

Yes. A single account can bill its own suppliers and be billed by its customers, with a unified dashboard that clearly separates the two sides.

How does the dual-role dashboard avoid confusion?

It labels the two sides distinctly — what you bill your suppliers versus what customers bill you — with separate figures and colours so the direction is always clear.

Can a supplier invite their customer?

Yes. A supplier can invite a customer by email, and once connected the supplier appears in that customer's supplier list automatically.

Can a customer invite their supplier?

Yes. Invitations work in both directions, so either party can start the connection.

What happens when a supplier approves an invoice?

Approval records the supplier's acceptance of the self-billed invoice; they can then mark it paid once payment is received.

Does a supplier need an account to receive invoices?

No. Invoices are emailed regardless. An account simply lets the supplier view, approve and manage them in one place.

Can a supplier become a customer too?

Yes. A supplier can add the customer side by starting a plan, and then raise self-billed invoices for their own suppliers.

Pricing, plans and billing

Can I pay monthly or annually?

Both. Pay monthly, or choose annual billing and get two months free. You can switch or cancel any time before your plan renews.

What plans are available?

Plans scale by the number of suppliers and invoices you need, from a starter plan for small teams up to higher-volume plans, all including the full compliance engine.

What counts as an invoice for my plan?

Each self-billed invoice you raise counts towards your monthly limit; bulk imports count the individual invoices they create.

What happens if I reach my plan limit?

You are prompted to upgrade. Supplier and monthly invoice limits are enforced so your usage stays within the plan you chose.

Can I pay annually?

Yes. Plans can be paid monthly or annually, with annual billing offered at a discount.

Can I cancel any time?

Yes. You can cancel before your plan renews and you will not be charged for the following period.

Who manages the packages and prices?

Package names, prices, limits and features are managed in the admin area, so the public pricing always reflects the current plans.

Is payment secure?

Yes. Payments are processed by Stripe; Apex Billing does not store your card details.

Do suppliers pay anything?

No. Suppliers use the portal free of charge. Only customers raising invoices are on a paid plan.

Can I change plan later?

Yes. You can move between plans as your supplier and invoice volumes change.

Security, data and compliance

Where is my data hosted?

Apex Billing UK is UK-hosted, keeping your billing and supplier data in the United Kingdom.

Do you verify email addresses?

Yes. Accounts verify their email address, and a supplier's records are only linked to their account once the email is confirmed.

How do you keep invoices compliant?

Every invoice is sequentially numbered, carries the supplier's VAT details and the required self-billing marking, and reverse-charge wording is applied automatically where relevant.

Do you keep a record of self-billed suppliers?

Yes. Apex Billing maintains your register of self-billed suppliers and their agreements, ready for inspection.

Is my payment information stored?

No. Card payments are handled by Stripe, so your card details are not stored by Apex Billing.

Can I export my data?

Yes. You can export your invoices to CSV, and download invoices, statements and remittances as PDFs.

How are logins protected?

Sign-in is rate limited to slow down guessing, passwords are securely hashed, and a password reset flow is available.

Is this tax advice?

No. Apex Billing UK provides software and general information, not tax advice. Check your specific position with your accountant or HMRC.

Does Apex Billing appear on my invoices?

No. Apex Billing is the platform, not a party to your invoices; the invoice is between you and your supplier, with only a small footer note.

Can I get support?

Yes. You can contact the Apex Billing team for help getting set up or with questions about how self-billing fits your business.

Still have a question?

Get started and try self-billing on your own suppliers, or get in touch and we'll help you set up.

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