I would be so grateful if someone could help as I'm having a Friday afternoon mind blank.
Am I right in thinking that unless I go in and manually enter the correct T code, all of my payments on account will register on the VAT Return as T0 until they are matched to the corresponding invoice?
Many thanks in advance!!
-- Edited by LoudMonkey on Friday 6th of May 2016 02:06:59 PM
A payment on account shouldn't be hitting the VAT return at all. Which software are you using? I use VT+ and if I do a payment on account I don't have to do anything. As far as I'm aware it should be the same for sage.
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John
Any advice given is for general guidance and professional advice should be sought applicable to your circumstances.
Presumably, you're on a cash basis for the VAT? And from the fact that you mention 'T codes' you're using Sage.
AFAICR, in that situation when you enter a payment on account, Sage *asks* you the tax code to use - and it uses that tax code to determine whether or not to include the payment on the return (and how much, if any, VAT there is).
So if you've entered them as T0, they will be T0 with no VAT.
However, note that once they've been included on a return, Sage won't let you change them - unless newer versions than mine now allow for this. (Which is possible; it could reverse them as they are and post a new corrected version).
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Vince M Hudd - Soft Rock Software
(I only came here looking for fellow apiarists...)
