The VAT self-billing / ERS-procedure (Evaluated Receipt Settlement) constitutes a special type of accounting for goods and services between a customer and its service provider (supplier of goods or services), in which it is crucial that the accounting burden is borne by the customer and not by the supplier.

Accounting in the VAT self-billing procedure is not carried out in the usual way by the supplier, by means of a vendor invoice sent to the customer concerned, but conversely by its customer, which creates an internal accounting document (self-billing invoice) and sends it to the vendor. The customer’s self-billing invoice therefore replaces the vendor's invoice for billing purposes.


  1. BASF generates an ERS order and sends it to the vendor.
  2. The vendor sends the ordered products to BASF.
  3. The goods recipient checks the quality of the supplied product and books the received quantity into the warehouse with reference to the order. If there is a delivery note available, reference is made to this when entering receipt of goods.
  4. An automatic program identifies all goods received in ERS orders once a week. Based on order price and the quantity of goods received, a self-billing invoice is created from these received goods. This self-billing invoice also contains your delivery note number. If requested invoice details can be send additionally in a txt-file via email.
  5. BASF pays for this self-billing invoice within the agreed terms of payment.

Criteria: VAT self-billing

  • Stable prices based on catalogs/ negotiated contracts
  • (Written) agreement between supplier and BASF Purchasing