Split up the deductible VAT in report

Hello belgium again sorry, i can’t help it.
We need a report where we split up the deductible VAT. (code 81,82,83)
81: goods for resale, raw materials and consumables
82: services and other goods
83: operating assets
I have already broken down my calculation schedule, but I find no way to include the totals in a report

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If these VAT codes are not available in the Standard VAT codes for Belgium, then you will need to create custom VAT codes

The VAT reports will then report these along with totals

I have done this for the Irish VAT codes where I need to report VAT on purchases for resale and VAT on other purchases separately

I am not an expert on Belgian tax law. But let me point out several things:

  1. There are already three in-built Belgian tax codes:

    36%20AM

  2. What normally matters in accounting is the tax rate, not what the rate is being applied to. The category of goods or services is only what determines the rate. Reporting is done by tax code (rate).

  3. Your screen shot shows categories of expense accounts. VAT will not show up there. VAT is posted automatically to the Tax payable liability account, where input and output taxes are offset against one another. This is because VAT is not an expense of your business. Output VAT is collected from your customers and held in trust for the tax authority as a liability. Input VAT is paid to your suppliers, reducing the amount of output VAT that must be remitted to the tax authority. (Or, if input exceeds output, the Tax payable account will move into the debit range, indicating the tax authority owes you money.)

  4. If the in-built tax codes are not sufficient, please provide documentation about other codes/rates. @lubos prefers to create legally required codes for VAT rather than require users to create custom codes.

Hi we have 4 types (0%, 6%, 12%, 21%) the 12% is not there by default in manager.
With incoming transaction i do need the divide up into 3 groups and rapport in that way.
I was not able to find english documentation.
But Google will probably translate the website for you.
https://financien.belgium.be/nl/E-services/Intervat/modellen-van-de-aangiften-en-toelichtingen#q1


(page: 7 )

(example what we need to fill in)

More details for the VAT types:(0%, 6%, 12%, 21%)
https://www.belgium.be/nl/belastingen/btw/tarieven

@Josiah, Manager will split out the various tax codes in the reports, although not in the Tax payable account. You would need to create custom control accounts for that. The procedure is described (for a different circumstance) in this Guide: https://www.manager.io/guides/7171.

I will invite @lubos into this discussion so he can create the missing Belgian tax code. Meanwhile, you could create a custom tax code for the 12% VAT.

@tut, I have look into that and tried some stuff. But it is not what we need. I will try to explain a bit better :wink:
I made a small example with just 12 invoices in excel. We don’t need multiple rates for the basic VAT. the amount the need to fill in the tax codes (81,82,83) is a mix from all VAT rates but depends where is in the Chart of accounts.
We have to split up all are incoming invoices in 3 main groups.
81: goods for resale, raw materials and consumables
82: services and other goods
83: operating assets
On top of default VAT summary raport we need to the 3 total’s from groups

As I implied before, you need to create three custom codes for each rate. The Vat reports will then split your Vat data as you wish

Of course, you will have to choose the correct code for each invoice item

@Josiah , what you are asking for is a multi-variable breakdown of the tax codes. Manager simply will not do that. You might try some combination of tax codes, tracking codes, and custom fields. Then you would need most likely to make creative use of the various reports. I don’t recall anyone else ever asking for this.

I asked this many times. In Italy a company can have many “sezionali IVA”, ie VAT subgroups, that are the same of what @Josiah is asking. That’s why I asked @lubos ubos to have custom codes applied also to tax codes and a better custom report implementation for taxes. He promised that with the new implementation of custom reports everything will be implemented and he put this into ideas.

One thing is clear. Manager needs more flexible tax application and reporting options to keep up with evolving requirements around the world.

Indeed, and is there a way to get involved to help create the report?
I would think it can be done if copy and edit the ‘Tax check’ if we are able to get account groups in the report and just calculate some totals with some less details visable and then and add the VAT overview on there.

It is a little bit more complicated as some of you might think, but anyway, the standard report in Manager for the Dutch VAT works great.
There is a lot of similarity between the Belgian VAT law/requirements and the Dutch. The Belgian tax authorities even want more detailed VAT/sales info than the Dutch authorities.
Below you find a specimen of the Belgian VAT tax-return. Maybe this can be of help for @Lubos in creating a “draft Belgian Tax Return”. Although I am Dutch, if I can be of any help in translating or explaining things, please let me know.

Adding custom fields to tax codes and add the possibility to create custom tax report would solve 90% of the issues

@Davide
It is my opinion that solving this with customer codes is in principal the wrong way/approach.
It would mean that every Belgian user would have to create custom reports for something what is called a legal obligation.
It should be a standard report which every Belgian user can use. A custom report is a report which a specific user can create for his/hers specific needs. It should not be the tool to create “standard legal reports”.

The Belgium VAT reporting requirement is very similar to the Irish reporting requirement in that the VAT data has to be reported not only by rate but also by type of sale/purchase ie for resale or not, from EU or outside EU supplier/customer - the problem is that by multiplying the tax codes to cater for the extensive reporting requirements, it will be difficult to choose the right code for each sale and purchase line item

In my case, it is relatively easy as we don’t deal with imports or exports and only have a few sale transactions each month but in other cases it could easily become a nightmare to manage

I do not think it is realistic or desirable for Manager to address specific tax filing requirements. I am sure users in Australia, UK, and Netherlands appreciate the worksheets the program has. But there are about 200 other sovereign territories in the world, not to mention subsidiary jurisdictions. What about them? How can Manager be expected to keep up with changing requirements and formats everywhere?

Personally, I would not trust an application that advertised itself as being up to date in every jurisdiction. That is why I think more flexible tax reporting is the answer.

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I’m with you

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I agree that it is a hell of a job to be compliant with all kinds of tax requirements, but on the other hand “custom reports” is in my opinion not the desired method to fulfill legal requirements because not everybody is familiar with and experienced in creating custom-reports.
More flexible tax reporting could indeed be the solution.

I think that if the next implementation of custom reports are savable and loadable we could share each other not only tax reports but every kind of additional report. Also keep in mind that in max a couple of years all European will implement digital invoices and tax declaration by XML and you will have to start from scratch.