At the moment as son as I create an invoice the VAT that i am charging is shown in the Tax payable account under Liabilities. Is there any way for the tax payable not to show in it’s relevant account until I get paid for the invoice.
Please see the below paragraph taken from the Irish Revenue which states that I do not become liable for the VAT until I receive payment from the customer. Similarly, can the same thing be done with VAT on purchase, i.e. that it doesn’t show under in the tax account until I pay the supplier.