DESKTOP EDITION CLOUD EDITION SERVER EDITION GUIDES FORUM

VAT FTS not recognized on spend money transactions


#1

On Bank spend money, it doesn’t seem to recognise the FRS VAT code ?


#2

What do you mean? How did you determine that?

Also, typically you wouldn’t categorize “spend money” transactions as VAT FRS since flat rate scheme means you pay reduced VAT rate on sales but can’t claim VAT on expenses.


#3

Apologies, i may not have done it correctly.

When i entered the amount i assumed it was the vat exclusive amount and then chose the correct tax code, i thought it would add the vat on to it to get the total price.

I think i needed to put the vat inclusive price and chose the correct tax code and it now says includes vat underneath the total.

Is that the correct way to do it ?

Thanks for your patience.


#4

Bank payments are always recorded as VAT inclusive amounts because that’s what you see on your bank statement


#5

I am using a custom frs VAT code 20% but effective 0% as i am not yet registered for vat, it makes it easier for me so i dont need to alter all suppliers prices as previously discussed.

Apologies again for mentioning a fault that wasnt there.