Hi I am currently sub contracting work from lady who works for herself, from home, she has asked me to input all the data from a client who imports/exports wime from the EC, she has given me folders for each quarter and I am slowly working my way through them - there is alot of paperwork!! any way in the folders there is a list of Acquisition VAT in a list the list looks like this: DATE Deferred VAT Acq VAT EXCISE
with the totals for each at the end, how do I put this onto SAGE and what codes would they be under? and what is Deferred VAT, Acquisition of VAT??? I have not come across this before, this is my first job since passing my exams and I really don't want to mess this up. Sorry for all the questions
I've never heard of deferred VAT, unless it means a trader is using the cash accounting scheme and is providing for the VAT that will become payable when the o/s invoice is paid (never seen this in practice though?).
Could acquisition VAT apply to VAT that your client wants to reclaim on items purchased before they started trading? If this is the case then I would post the expenses on to Sage as normal, reclaiming any VAT and probably dating the items as happening on the first day of trading.
Hi Thanks for the reply, I don't think that this applies here, the invoices are right from 05 til now and they are from a company called London City Bond, which transport the wine. I have tried to get hold of the person I am sub contracting from but she has made herself unavailble since friday, so I am going to do what I can, with the info I have and then pass the books back to her to complete.
Hi Shellie Deferred VAT applies to Imports where an importer can register with HMRC for VAT payable when the goods are landed This speeds up customs clearance.
What happens is when the goods arrive at the docks the clearing agents ( normally shipping agents ) will clear customs and use the Company's Deferment Number to Pay the VAT for that particular consignment.
If using Sage you need to post the VAT using T1 Code in the VAT field Normally the original Import Invoice would have been received weeks ago with no VAT. and you should ensure that the original invoice should use T1 code even though there was no VAT at the time.
So you have 2 invoices both with T1 Codes 1 with net value but no vat amount 1 with vat amount but no net amount
When posting the deferred VAT invoice you must reference the original invoice , otherwise it will be a job to do it later !!
Thanks for the reply it has really cleared it up for me, just when you think you have a clue about all the VAT something else comes along and your back at square one!! :)
