I'm running the VAT return for a client, but I have found that there are VAT invoice's missing. (which I have just now received)
What is happening is that the supplier isn't giving us credit so we have to make payment before the goods are delivered, which is fine, but the supplier is not issuing the VAT invoice until they delivery the goods. Now my understanding is that the tax point is the date we have made payment as this is earlier than the supply of good, but when we get the invoice the date on the invoice is the date they delivered the goods.
As the VAT return is for period 01/3/17 to 31/05/17 and we made the payment in May and the VAT paid is a few hundred pounds I really think we should be entitled to reclaim the VAT on this return otherwise we'll have to wait another three months to reclaim this VAT, however the goods were supplied in June and therefore the supplier has dated the invoice 29/06/17, and I've noticed that this isn't the only supplier doing this.
Is my understanding of when the tax point is incorrect, or should I be entitled to reclaim the VAT in May when we paid it to the supplier ???
lol, it's a pain having to chaise these VAT invoice's, but at least I feel a little more confident that I'm correct with regards the tax point.
I guess the invoice date is such so that their accounts department don't start chasing us for the money before we're received the goods, so I'll just change the date in the accounts to the tax point rather than the invoice number so that it appears on the VAT return I think
lol, it's a pain having to chaise these VAT invoice's, but at least I feel a little more confident that I'm correct with regards the tax point.
I guess the invoice date is such so that their accounts department don't start chasing us for the money before we're received the goods, so I'll just change the date in the accounts to the tax point rather than the invoice number so that it appears on the VAT return I think
Not sure I get that.
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
Why they are making the invoice date as the date of supply and not the tax point I don't know, I was thinking it was so they didn't chaise payment, but payment has already been paid.
Can i ask what was the outcome of this, what happened? How did you resolve this?
Chris
-- Edited by Christopher1987 on Friday 12th of July 2019 03:29:59 PM
Not a good idea to dig up such an old post. Besides the OP hasnt been on since 2018.
If you have a question of your own create a new post, but please ensure when you do that you include the usual introduction that we ask newbies for:-
Usual stuff - what prof body do you belong to, do you work for yourself or in a practice/ firm, are you a bookkeeper or accountant, what qualifications, how long in role, where up to in your studies-what exams passed/with what body/in midst of doing, where based, what you did before this role, who is your MLR with? That sort of thing. Helps get to know you but also how best to pitch answers.
Also - when asking for a technical response then always best to provide some proper meat on the bones. You can see from this one that certain Qs were asked but never answered, so providing such info is crucial.
__________________
Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
