Downloaded Manager yesterday and so far one question.
I’m in the UK and I need to show the VAT rate for each line item. In the main I only ever use the standard rate (20%) but whenever I write an invoice all I see is the VAT total for the invoice
If you use more than one tax code, a new column appears showing code for every line.
But I only ever use one tax code. And I tried this as I’d seen it in the forum - one item @ 5% and another @ 20% and the rate column didn’t appear
You need to actually use the codes. Manager avoids all possible empty fields and columns.
I have set up the codes in Settings->Tax Codes. If I enter 5 line items all with 20% VAT rate the tax rate column isn’t visible.
As a test I also set up one item at 5% and still the VAT rate column isn’t visible
This is the way Manager works. If every line item has the same tax rate, the rate and total tax amount show after the sub-total.
Post a screenshot of the Create / Edit screen for the transaction.
Yes I can see that but in the UK VAT invoices are required to show the rate of VAT per item
On the other hand if I add two items, one at 5% the other at 20% using defined Tax Codes the VAT column still isn’t displayed
If manager isn’t capable of doing what I’m required to do then I’ll have to look elsewhere.
I looked over the link quickly and did not see where it requires the VAT rate on each line item when all items have the same rate applied. However, I am not from the UK, but there are many users who are. I’m sure they will clarify the requirements for us.
As I asked, post the screenshot of the Create / Edit screen, because it works when I try:
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I’ll post it tomorrow when I’m at work.
As for the HMRC guidance it quite clearly stipulates that the VAT rate per item should be included regardless of whether all items are at the same rate or otherwise
If you can find official guidance that shows this, please post it. Second-hand reports like this will not prompt program changes.
I am UK user on cloud. I do bookkeeping for two different companies requiring different VAT formats (one is standard using 20%, 5% and exempt and the other is flat rate scheme). The actual rate (the percentage) is entered per line after the amount of the item regardless of whether they are all the same or not. It does not actually show what the VAT amount receivable is per line. The total amount of VAT receivable appears at the end of the invoice the same as the example from dcVest above.
I did post the link to the HMRC website in the post above
I’ve just checked with a call to HMRC and their guidance is as on the link I posted earlier. VAT registered traders must show the VAT rate applied for each line item.
I guess I’ll have to find another solution
is this acceptable? I am from India and our tax reform GST has similar requirements for invoices, and manager fulfills it.
it shows the tax rate applied for each line item.
you must be doing something wrong while entering.
@cloudphone is doing nothing wrong. the tax code you have used is a multiple tax component. when a single tax component is used whose rate is same for all the line items, Manager will not show the tax rate as a column.
What I’ve done is select the built in UK 20% tax code
Then create a sales invoice with 2 items rated at 20%
Then create the invoice
I’d hope that the tax rate per line item is displayed as required by the UK tax authorities buts its not.
The only way round it is to define a custom field and manually enter the rate there…
@cloudphone - You need to re-read the link which you provided where it clearly states:
“(1) If items are charged at different VAT rates, then show this for each.”
NOTE - “IF” items are charged at different VAT rates, then show this for EACH.
@dcVest example clearly shows how Manager satisfies the HMRC requirement “If items are charged at different VAT rates, then show this for each”
There is no requirement to show VAT per line where they are all at the same rate.
Yes I can see that but the footnote applies to simplified VAT invoices NOT to full VAT invoices.
The example shows how Manager satisfies the HMRC requirement for simplified invoices NOT full VAT invoices. In the case of full VAT invoices there is a requirement to show VAT rate per line item regardless of whether they are all at the same rate or otherwise.
As I’m obliged to use a full invoice Manager isn’t therefore suitable and clearly doesn’t satisfy the HMRC requirements
You will note from the below that it refers to per item, not per “line” item as in your topic heading.
If all items are at the same rate then the applicable per item rate for all those items is clearly shown.
However, if the items have a mix of rates then these will be clearly illustrated.
Manager UK users, including qualified accountants, aren’t having your issue. In fact this presentation it is of universal acceptance (UK, Europe, USA, Australia, New Zealand etc.) otherwise Manager wouldn’t have been designed this way.
I guess its a matter of interpretation of the guidance. I had a VAT inspection from HMRC earlier this year and their interpretation of their own guidelines is as I have outlined - on a full VAT invoice I’m required to show the VAT rate for each line item. As Manager doesn’t comply with HMRC’s guidance as explained by their VAT inspectors in this respect it doesn’t appear to comply with the UK requirements for full tax invoices. It does however comply with the requirements for modified and simplified tax invoices but unfortunately I’m not able to use either