I did start looking at creating tax codes which would enable the VAT3 report and the VAT Return of Trading Details (RTD) report to be produced
The issue I have is that I counted that I would need 57 tax codes to cover all possibilities. This is based on the tax codes available in the Sage Accounting software so it may not cover all aspects of the VAT report requirements here.
With 57 codes it is difficult to name them in a simple fashion.
It is true that most businesses using Mamager will only need a small subset as a lot of the complexity involves imports and exports which would not be a concern to many small businesses in Ireland.
Except that many businesses trade with customers and suppliers in the UK which is now outside the EU so that adds another layer to VAT reporting.
Also the government here tinker with the VAT rules regularly by implementing temporary reduced rates or postponing payment which all adds to the complexity of generating the required reporting.
Is anyone interested in working on this with me?
In my opinion, something is better than nothing.
So a possible approach would be:
- Add the more commonly used tax codes
- Add a report transformation which uses them
- Add less commonly used tax codes & report transformations support.
Getting something down may also help cross fertilisation between different jurisdictions tax code & report transformation architecture.
OK, I have started with the new tax reporting categories and have come across a problem.
I have setup tax reporting categories with two for each rate we use - one for purchases for resale and one for all the rest (sales & other purchases)
My VAT3 report transformation works as expected - this is a summary of the tax liability for a period
My RTD report transformation does not work at all
To make sure I am using the correct categories, I have only set it up for the Standard rate
This is a report with the net sales and purchases for the period. Using the Tax Reporting Category - VAT Standard Rate - Net Sales does not report the Net Sales for the period although the appear in the Tax Summary report
On the VAT3 report
the Net Sales is not working for me either. I had reported the same in our country localization. maybe it is still a work in progress.
but I did not check Net Purchases.
I am not going to work on this until it stabilises a bit
I need to be able to report Vat due & collected, Net Purchase and Net Sales by tax code
When I use the “new” Tax Reporting fields in Report Transformations they include the Net value and the VAT value if the tax code is a reverse charge so not correct at all
I can see how to use the latest implementation - you need to have inward AND outward tax codes which will lead to a proliferation of tax codes but …
But how will Reverse charge tax codes work?
In Ireland, I have to report Reverse charge amounts on both the inward and outward fields as well as reporting the Net Purchases inward and outward
@Joe91 I’ve noticed
Return of Trading Details has 5-column layout. In the latest version you can create report transformation with 5 columns now so that should make the report more compact.
Also, is it true that VAT on purchases is reported on accrual-basis and VAT on sales on cash-basis?
Great, I will redo my RTD report.
As for cash/accrual not as far as I know, but I’m not an expert.
I thought you choose accrual or cash.
There is a postponement system in place since Covid but I have no either how that works.
I have reformatted the RTD report - looks good
Waiting on how to deal with Reverse Charge bits next
The Postponed Accounting & Imports logic will have to wait - I suspect I will need a lot more tax codes
Here’s my Reverse Charge settings and results - I am on the right track?
Two Tax codes (I have to distinguish purchases for resale v other)
Purchase invoice with two lines
Tax Summary Report - looks good
VAT3 Report - Tax paid and collected - OK apart from the sign on the Reverse Charge
RTD - OK aprt from the sign
In the latest version (21.11.18), there is now
Script field on report transformation.
This can be used to reverse sign on any field for example.
When viewing the report, right click on the amount you need to reverse sign
Inspect element or
Inspect (depends if using Firefox or Chrome).
This will highlight HTML code of the element
Each element on the report has ID attribute which we will use. In this case, ID attribute is:
Now we will pass this ID to built-in function named
Save the report transformation and view it. The sign will be reversed.
Mmm, a shortcut, but not really elegant and far from the ambition to 0-code. Not sure if this is the right way to go, sorry. Somehow, in the eagerness to get more contributions the sacrifice to disallow coding is now starting to hurt.
@eko you see a manual shifter but all I can see is more horsepower.
@eko I was always planning to introduce scripting into report transformations. You could write a script that could connect to tax authority and lodge the figures on the report right from Manager.
That’s all very well for reversing the sign on the report but it doesn’t help with the totals
@Joe91 can you show on screenshot what you see and what you expect to see?
This is the Report Transformation for our VAT3 Report
We do not need to show the two detail lines that make up the total but the Total should be the Vat Sales Total + Reverse Charge for Total (T1)
and VAT Purchases Total + Reverse Charge for Total (T2)
The Total T1 should be 14,139.95 + 690.00 = 14,829.95
As it is shown on the Tax Summary Report
Ideally, the negative figures should be shown as positives in the VAT3 Report Transformation