The Book-keepers Forum (BKF)
The Book-keepers Forum (UK) -> VAT, Payroll & Tax -> VAT Adjustment
Post Info TOPIC: VAT Adjustment
KAZ


Veteran Member

Status: Offline
Posts: 70
Date:
VAT Adjustment
Permalink Closed

Hello, I need help with posting a VAT Adjustment. I am using SAGE.

 

Fuel posted for May, June, July totalled x and was posted with full VAT

Have now agreed with the director that 40% of this fuel was for personal use so I need to deduct this VAT element from the Return.

 

Any help gratefully received.

 



__________________
RobH


Expert

Status: Offline
Posts: 1963
Date:
Permalink Closed


dr the directors loan account (T9) with 40% of fuel cost plus vat,
cr 7300 (T1) (motor expenses) 40% of net fuel (excl vat)
cr 2201(T1) (input tax) with 40% of vat.

All the fuel vat could be claimed if the fuel scale charge is included in the vat return.

__________________
Rob
www.accounts-solutions.com
KAZ


Veteran Member

Status: Offline
Posts: 70
Date:
Permalink Closed

Hi Rob,

The director is still claiming the full expense through expenses but does not want to claim back the VAT on the 40% personal use. Is this possible to just remove the 40% element from the Return?



__________________
RobH


Expert

Status: Offline
Posts: 1963
Date:
Permalink Closed

Hi Karen,

yes I guess so by

dr 7300, ie move the vat element to motor expenses
cr 2201

Two things that spring to mind, firstly, by claiming the fuel for personal use then the director will need to be declaring company car AND fuel benefit on his P11D...this might already be happening in which case no problem, however if the car or fuel is not currently classed as a benefit in kind then it should be and the tax implications will not be insubstantial.

Secondly, have you explored the fuel scale charge which may or may not be beneficial to the company

__________________
Rob
www.accounts-solutions.com
KAZ


Veteran Member

Status: Offline
Posts: 70
Date:
Permalink Closed

Thank you! Now done. Am going to make any adjustments before posting next time!
Am going to explore the fuel scale charge

__________________
Rhianrach


Expert

Status: Offline
Posts: 1609
Date:
Permalink Closed

I'm glad I read this thread, it reminded me that scale charges changed from May 2014, I always forget to check :)

__________________
Steve
Page 1 of 1  sorted by
 
Quick Reply

Please log in to post quick replies.
The Book-keepers Forum (UK) -> VAT, Payroll & Tax -> VAT Adjustment
Tweet this page Post to Digg Post to Del.icio.us
Members Login
Username 
 
Password 
    Remember Me  
©2007-2024 The Book-keepers Forum (BKF). All Rights Reserved. The Book-keepers Forum (BKF) is a trading division of Bookcert Ltd. Registered in England Company Number 05782923. 2 Laurel House, 1 Station Rd, Worle, Weston-super-Mare, North Somerset, BS22 6AR, United Kingdom. The Book-keepers Forum and BKF are trademarks of Bookcert Ltd. This forum is a discussion forum only. There will usually be more than one opinion to any question and any posting should not be viewed as a definitive solution. No responsibility for loss occasioned to any person acting or refraining from action as a result of any posting on this site is accepted by the contributors or The Book-keepers Forum. In all cases, appropriate professional advice should be sought before making a decision. We reserve the right to remove any postings which are offensive, libellous, self-promoting or engaged in covert marketing. We will not notify users of removals. The views expressed in the forum posts are those of the individual and do not necessary reflect or agree with those of The Book-keepers Forum. Any offensive or unsuitable posts will be removed by the moderators. Any reader of this forum can request for a post to be looked into by sending an email to: bookcertltd@gmail.com.

Privacy & Cookie Policy  About