In Ireland we either get a VAT refund or have to make a VAT payment every 2 months. Do I have to make the Receiver both a customer or a supplier to show this? Or how do I handle this. i have a refund from VAT now that I have to enter. Kind regards,
Sue - I am very new to this programme.
No. Customers have subaccounts within Accounts receivable. Suppliers have subaccounts within Accounts payable. VAT is posted to Tax payable when checked on a line-item basis and is not directly linked to either customers or suppliers. VAT will be posted as a debit or credit depending on the transaction type.
Create a simple little test business to experiment with this. You can have as many businesses in Manager as you want. A few sample transactions, checking the results on the Summary page after each, will show you how it works.