Do not require invoices for expense deduction

When we pay for services or products we need to make our business work, many times foreign companies do not comply with the unnecessary ridiculous invoice conditions our governments require us to consider an expense as tax deductible. In my case (Spain), if I don’t have an invoice for each expense, and it has my perfect exact address, VAT number, full name, and product/service description, I will not be able to deduct the expense.

This means:

• I spend too much time worrying about papers, and not about creating value to customers

• I have an important financial risk and tax fraud risk if I make a mistake

• I have a huge competitive disadvantage from other entrepreneurs in countries outside Europe, that don’t worry about invoices, VAT numbers, and tax deductions. They just focus on creating value.

If I have a bank statement that proves that I have an expense, so the net income you can tax is lower, why do I need a paper?