This is not what I meant. I meant to enter random figures into government submission form. Not in Manager.
Aha, Thatâs not possible. You only get to see the form when you have a pending submission, which I donât.
OK. Because as per the screenshot of government form, we canât have VAT Amount
for Standard rated sales
anything but 5% of Amount
.
And then we canât have VAT Amount
on Sales subject to domestic reverse charge mechanism
at all since government submission form does not even have this field.
I suspect that when you enter random figures into government form, you might see that Reverse charged VAT amounts in purchase section will not flow into Net VAT due (or reclaimed)
at all. This is the only way it can âbalance outâ.
There is a VAT amount for that. Looking back, I think the screenshot is outdated, I think it was from before VAT adoption.
@lubos It turns out you were right, thereâs no amount for that field. The field is zero rated sales made to someone who can apply the domestic RCM.
After further digging â as a summary, the RCM you must sell the import back to yourself and record both the output and input VAT. The domestic RCM is when you apply RCM on domestic purchases. Both of these will have the output portion fully consolidated with standard rated sales. This means that:
VAT/I - Domestic RCM
andVAT/I Amount - Domestic RCM
must be reported under item 1.
The catch with domestic RCM is that the buyer gets a certificate that he shares with domestic suppliers so that they apply a special zero rate instead of standard rate. This means that:
- for item 3 we need a new zero VAT rate and a new zero category to report zero rated sales made to Domestic RCM customers, letâs call that
VAT/O - Domestic RCM Sales
.
FYR, you can check out the following guides:
- Reverse charge output treatment sec.2.2.2 pg.17
- Specifics on domestic reverse charge sec.7.3.3 pg.58
OK, so for VAT Amount
on Standard rated sales
, it should be this:
Do you agree?
I do not have a solution for Amount
so just leave it like this:
If you can update the rest of report transformation so itâs consistent with tax authority form, all that will be left is Amount
for Standard rated sales
which I will deal with myself.
Sure and âŚ
I think I have a workaround, possibly a solution.
There is now new way to reverse sign in cells. Simply select Reverse signs
category along with your reporting categories. No need to handle this with javascript anymore.
Will this work for individual components or for the entire cell?
Entire cell only. This is not solving anything weâve discussed, just making it possible to omit javascript.
Please check the new transformation named âVAT Return Form - Modified Layoutâ and share your thoughts.
Thatâs a great progress. I think some javascript will be needed to handle Standard rated sales
issue and your solution is good. However things like removing drilling-down ability could be solved easier with special marker which I could implement (similar how Reverse signs
already is). That would reduce amount of javascript.
One question. Why do we need:
And
Because otherwise we will have to have 1 tax code for the adjustment of each and every line item, plus a tax code per each of the standard rated purchase lines. That would be 15 adjustment tax codes which is 12 more than we currently have. I thought that was too much and so did @danowagroup.
But why do we need to have tax codes for adjustments at all? It doesnât look like the tax authority form has provision for that.
As far as I can see, when you issue credit note, itâs not really an adjustment, itâs negative sale.
The entire second column here is about adjustment and apportionment:
According to the laws and regulations. Suppose we issued an invoice on 30-Sep which is the end of Q3, later in October thereâs been a goods return. The credit note issued in Q4 for an invoice issued in Q3 is regarded as an adjustment in Q4 VAT return.
I forgot about that second column. OK, we need actually tax codes to cover each field.
Yeah, it sucks but thatâs the correct way.
If some tax codes are unusual, we should make them Inactive
in localization so they are not seen in dropdowns by default. We should make only the most common tax codes active.
Documentation for the country will be automatically generated out of definitions in localization so thatâs another reason to make it all proper.
Youâre right. So I will create an adjustment code to each cell and then inactivate all of them except for those for items 1 and 8.
But the ids for the totals are going to span multiple pages though.
And since you liked the modified layout I will keep it, but should I delete or inactivate the previous one?
Just delete.