Your screen shots do not provide enough information to tell what’s going on because:
you do not describe what they show, and
you do not include the headings and bread crumbs at the top.
It is not even possible to tell if the payment in your first screen shot is actually the transaction you have highlighted in the second screen shot.
You also have another problem. Assuming your last two screen shots are showing your VAT liability account, payments and purchase invoices should result in debits. But receipts should result in credits. Instead, everything is a debit.
Then why are some of your transactions listed as payments and others as receipts?
Explain what your screenshots show, and let us see the headings and bread crumbs (the path to the current transaction as shown by the links at the top of the page) as @Tut suggested. We need to know what we’re looking at. For each transaction you use as an example, show the edit screen including dates and reference numbers so it’s easy for us to identify that transaction in your other screenshots.
How has your “VAT Control Account” been set up? Is “VAT 5%” a built-in or custom tax code? Let us see the edit screen for that.
Thank you. I see the discrepancy with payment # 352, but also note that you still have payments and receipts showing up as debits. As @Tut said, the receipts should appear as credits. So there seems to be more going on than we can see.
As a start, could you provide screenshots of the following, please:
The edit screen for payment # 352.
Create a test receipt similar to payment # 352, and show us the edit screen for that.
Show us the VAT Control Account summary page as you have above but including the test receipt you created in 2. above.
@GrahamvdR appreciate your comments, yes agreed with @Tut that about the credit since it was only to test and been performed on the Test Database only.
Thank you @danowagroup. I have tried setting up a test business and performing the same actions, and I get the same results.
Changing the unit price to 1.000 BHD gives the correct VAT of 0.050 BHD. Changing the currency to US Dollars and entering a unit price of 0.10 USD gives VAT of 0.01 USD, which I suppose is what we would expect as a result of rounding to the nearest cent. However, it looks to me like the same rounding is happening with BHD and you’re getting the VAT calculated to two decimal places instead of three. So to me it looks like it is indeed a bug. You’ll need one of the forum moderators to verify and categorise it as a bug, and hopefully it’ll be fixed in a future update.
Many thanks @GrahamvdR for your great support, indeed it’s a bug and must be fixed soon as it’s upsetting the customers and creating issues for the trust we had created here.
