It depends on the size and nature of the transaction. Technically you are not supposed to claim VAT where no VAT invoice is present. Realistically HMRC do allow the odd one to go through if you have proof of payment (bank statement) and historic transaction details. If it is something a bit larger ask the supplier for a copy of the invoice.
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Phil Hendy, The Accountancy Mentor
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Assume you're using Sage if talking about T codes.
When you say bank receipts I'm not sure that you don't actually mean bank payments? If it's a bank receipt (in Sage terminology) then it's money into the bank i.e. possible sales and so it would be VAT payable not reclaimable and you can raise a Sage invoice with the appropriate VAT.
Assuming that it's money going out of the business...
Are you likely to get the invoice or will you never get it?
If you'll get it but just haven't yet then I would usually put the transaction to suspense with a T9 as it will be highlighted as one that needs to be recoded when the invoice is received.
If you'll never get an invoice then is it a genuine business expense and if you're not able to prove to HMRC that it is then should it be coded to directors loan or drawings with a T9 code?
If they are recurring payments e.g. DD then I think you're safe to claim the VAT on the basis that Phil lays out above. Is there any international element to the use of the phones as that will affect the amount of VAT charged and it would be impossible to know how much it is? If there's no international use then VAT can be taken out of the gross amount at 20% and coded to Sage T1 and whatever nominal code you use for mobile phone (usually a 75xx)
Quick tip on the tax code that I thought of recently, and which I'll probably start to adopt:
Set up a new tax code, with the appropriate VAT rate (i.e. 20% since that's the current rate) but set it up so that, like T9, it's not used on a VAT return.
Just as with T9, the VAT is not reclaimed when you do a return, and you retain the ability to edit the transaction after the return is done - but this way, the VAT element is still deducted from the P&L charge, so you aren't saying "You've only made £2.46 profit" and later - when the invoice turns up and you make the change - then saying "Actually, although I said you made £2.46 profit the other month, but now that's gone up to £2.48."
And, although I have yet to do it, it should be possible to tailor a report to show all transactions with that new tax code - so you can theoretically run that report and present it to the client saying "I need paperwork for all these..."
This should work in most accounts packages that have a decent level of configurability, although many lack decent enough reporting options, so the report part might not be so easy.
(see, the word "configurability" works and makes sense in a normal sentence!)
I'd add that in Sage, because of just how versatile it is, you could probably use T9 and override the 0.00 in the VAT column; with the report you could specifically look for T9 items with >0.00 in the VAT field - but then you lose the benefit of having Sage do the maths for you.
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Vince M Hudd - Soft Rock Software
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I like your thinking Vince - like a suspense VAT account in the same way I use the Sage suspense nominal code. A report in Sage would be pretty easy to write to pick up transactions with that T code.
I'm going to lobby the Oxford English Dictionary to include configurability (configurable is there!)
The report on that tax code will also be necessary when reconciling the VAT accounts at year end, since the value of the 'unclaimed' VAT on that report will be part of the overall balances.
(Of course, for infrequent, small items as Phil says above, it's not a big issue - but with some of my clients, there can be quite a lot!)
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Vince M Hudd - Soft Rock Software
(I only came here looking for fellow apiarists...)
