This report generates the VAT returns during a specified period for IE Business.
1. On the Reports page, under the GENERAL LEDGER heading, click VAT Return.
2. The VAT Return page appears. On the VAT Return page, enter the required criteria and click [Run].
3. The report is generated below.
Calculation Logic for the Above Boxes (Post Brexit):
The Calculation logic for an IE VAT return is mainly calculated and segregated into seven boxes. The breakup of each segregation is mentioned below.
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VAT On Sales (T1)- Invoice Basis: This category of VAT return box should contain All Sales Invoices and Sales Credit Notes for IE customers, All Non-customer receipts, All Sales Invoices and Sales Credit Notes for Customers from Other EU countries for VAT Codes having Goods or Blank on Goods or Services option, All Sales Invoices and Sales Credit Notes for Customers from Other EU countries (Other than Northern Ireland) for VAT Codes having Services on Goods or Services option. Notional VAT (for Zero-rated VAT Codes having corresponding Notional VAT rate which is, in general, a non-zero rate) contains All Purchase Invoices and Purchase Credit Notes for Suppliers from all countries (other than IE and NI) for VAT Codes having Services on Goods or Services option, All Purchase Invoices and Purchase Credit Notes for all Suppliers from Non-EU countries for VAT Codes having Goods on Goods or Services option and All Purchase Invoices for IE Suppliers for VAT Codes having RCT Applicable on them (for RCT Invoices).
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VAT On Purchases (T2)- Invoice Basis: This category of VAT return box should contain All Purchase Invoices and Purchase Credit Notes for IE customers, All Non-supplier payments, Notional VAT (for Zero rated VAT Codes having corresponding Notional VAT rate which is in general a non-zero rate), All Purchase Invoices and Purchase Credit Notes for Suppliers from all countries (other than IE and NI) for VAT Codes having Services on Goods or Services option, All Purchase Invoices and Purchase Credit Notes for all Suppliers from Non-EU countries for VAT Codes having Goods on Goods or Services option, All Purchase Invoices for IE Suppliers for VAT Codes having RCT Applicable on them (for RCT Invoices), All Purchase Invoices and Purchase Credit Notes for Suppliers from Other EU countries for VAT Codes having Goods or Blank on Goods or Services option and All Purchase Invoices and Purchase Credit Notes for Suppliers from Other EU countries (Other than Northern Ireland) for VAT Codes having Services on Goods or Service option.
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Net Payable (T3)- VAT On Sales– VAT on Purchase: This category is comprised mainly of the VAT charged on Purchase and Sales. This category is populated only when T3 is positive.
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Net Repayable (T4)- VAT On Sales– VAT on Purchase: This category is comprised mainly of the VAT charged on Purchase and Sales. This category is populated only when T4 is positive.
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Total Goods to other EU Countries (E1): The Intra EU Trade VAT return box comprises of the net value of All Sales Invoices and Sales Credit Notes for Customers from Other EU countries in regard to the VAT Codes having Goods or Blank on Goods or Services option.
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Total Services to other EU Countries (ES1): The Intra EU Trade VAT return box comprises of the net value of All Sales Invoices and Sales Credit Notes for Customers from Other EU countries (except Northern Ireland) in regard to VAT Codes having Services on Goods or Services option.
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Total Goods from other EU Countries (E2): The Intra EU Trade VAT return box comprises of the net value of All Purchase Invoices and Purchase Credit Notes for Suppliers from Other EU countries in regard to VAT Codes having Goods or Blank on Goods or Services option.
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Total Services from other EU Countries (ES2): The Intra EU Trade VAT return box comprises of the net value of All Purchase Invoices and Purchase Credit Notes for Suppliers from Other EU countries (except Northern Ireland) in regard to VAT Codes having Services on Goods or Services option.
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Postponed VAT Accounting (PA1): The VAT return box consists of the net value of All Purchase Invoices and Purchase Credit Notes for Suppliers from Non-EU countries for VAT Codes having zero-rated VAT on them and having a corresponding notional vat rate (generally a non-zero vat rate) and Goods on Goods or Services option.
The Goods and Services option gives you the chance to choose either Goods, Services or be kept Blank. The option can be set from Settings> VAT Rates> Add.
For all the above VAT Codes and Non-vatable codes OSS ticked items are excluded.
In regards to Cash basis of Accounting, VAT is calculated based on the proportionate VAT on allocated invoices which is allocated against Receipts/Payments Rest of all the calculations are same as in Invoice basis of Accounting. |