Ok - so if you have dealt with these, you will know that they are very long (depending on the number of machines) and include MGD on some machines and VAT on others. There is also VAT on the rent and possibly the share (to the landlord).
At the bottom of the 'receipt' there is a 'Site Totals' section which provides MGD Total and VAT total and also a 'Site Tax' summary which shows a total for MGD and a total for VAT. I have used these totals for MGD all the way through, but now that I have the first VAT return, I wonder if I should use these totals for the VAT return. It is clearly netting of the VAT payable and receivable as it is something like VAT Site total = £430 and Site Tax VAT = £7.87.
The alternative is to go through each machine and basically create a TB for each!! Far too much work when you get one of these every week. Does ANYONE work with these receipts/print outs??? Help would be appreciated.
Each receipt (think fat till rolls about 6feet long if you haven't seen one) gives the details of each machine.
Each machines is titled 'This is (or is not) a VAT Receipt'.
For each machine, there is gross and net takings, the rent of the machine and the (say half) share of the tenant/provider. Both these charges have an associated VAT amount. So it is in reality input tax.......but maybe I should be thinking of it as their income and their output tax. Some machines also show the MGD and others may show a little VAT depending on the machine.
After posting my original query, it does seem that the summary at the bottom shows the correct total of income for MGD and also the correct MGD.......thank god as it would take an age to go through a quarters worth of receipts (which are weekly).
The VAT showing is only the output VAT which is a very small proportion of the related income. It doesn't show the reality of what has happened - i.e., the rent/share paid out and associated VAT other than going through the detail. I thought and was really hoping the summaries at the bottom would help with the bookkeeping/VAT return rather than just the MGD return. It is more a query with how to read these damn reports than anything else!
I also struggled with these! They are so complicated I had to call the company that produces them to get them to explain what all the abbreviations mean! I know what you mean about the rent too, the slips I get only show the VAT so I have to net back up to find the actual rent figure! From my notes - I can give the following example which might help;
(L) = Left On Site, (B) = Banked (taken by machine owner)
Net Takings = £78.00 (L) MGD = £15.60 (B) Operator Share @ 22% = £13.72 (L) Post Rent Licensee Share @ 39% = £24.34 (B) Customer Share @ 39% = £24.34 (L) VAT On Rent = £-2.74 (B) VAT On Rent = £2.74 (L) VAT On Customer Share = £-4.87 (B) VAT On Customer Share = £4.87
Total (B) = £45.67, Total (L) = £32.33
So basically the people who own the machines leave you with; the MGD to pay to HMRC, add the 39% licensee share, less the vat on the rent and customer share which is ok because you claim that back from HMRC - and they take away with them 22% being the operator share, 39% being the customer share and the vat on the rent and customer share as noted already.
Then I did the following Journals to post that onto Sage:
CR Machine Takings (T9) £62.40 net takings less mgd CR MGD Control Ac (T9) £15.60 mgd DR Sundry Exps (T1) £38.06 operator share + customer share DR Purchase Tax (T1) £7.61 vat on rent + vat on customer share DR Cash Account (T9) £32.33 total of all (L) figures
So in summary Sage now shows net machine takings as income, the MGD liability ready for a BP to be posted against it, the 'Left On Site' figure has been put into cash, and the rent/shares with vat on have been entered and claimed.
I fail to believe we are the only people who've found this so hard but I can't find any other information about it!! The only thing I'm not 100% sure on is who they class as the 'customer', and the 'licensee' but for me they've are always the same amount so not a massive problem...
