I’m trying to set up a new business and they buy goods from the EU. I need to show these purchases on the VAT return in Box 2 and Box 4 of the UK VAT Return. How do i set up the Tax codes to reflect this please?
Manager doesn’t currently support this. So basically you need two new in-built tax codes:
- EC Acquisitions (20%)
- EC Acquisitions (Zero Rated)
Just so I understand mechanics, if you purchase something from EC member state for 1,000 which is subject to VAT 20%
200 should be added to box #2 and then again 200 should be added to box #4 so the net effect is always zero.
Is that correct?
Yes, thats correct.
How do it get both tax codes onto 1 invoice?
Lubos, it appears that ‘intra-community transactions’ is a common topic/issue amongst the European users of Manager.
Not only with recording the transaction, but also with reporting it.
From you replies I get the feeling you have a firm understanding of how it works, but… my question is: will it be implemented in Manager? And if so, how can I help?