Hi,
I have found out that field PA1 (bottom field), on the “VAT3 Return” localized report for Ireland is not displaying at all.
There are detailed instructions on this link how this should work: https://www.revenue.ie/en/tax-professionals/tdm/value-added-tax/part07-provisions-relating-to-imports-exports/postponed-accounting.pdf
Regards,
anony253
I setup the VAT reporting for Ireland pre-Covid and pre postponed vat
I don’t have the expertise to do tge setup for postponed vat, if it is even possible
@anony253 even if the figure doesn’t show, I assume the figure has no effect on VAT payable and VAT repayable. Correct?
It does have effect on both T1 and T2 fields on VAT3 Return
From the document I attached:
The T1 figure on the VAT3 Return should include the amount of VAT applicable to
the entry at the PA1 field on the return.
The T2 figure on the VAT3 Return should also include the amount of VAT applicable
to the entry at the PA1 field on the return (subject to the usual rules of deductibility).
So for example, you are importing an item for €1000, duty is €50, VAT at 23% is then €241.50.
PA1 should have the amount €1050 per below
The PA1 field on the VAT3 Return should include the Customs value of goods
imported under Postponed Accounting as per Customs Declarations plus Customs
Duty.
And Then T1 and T2 should both be increased by €241.50
There will undoubtedly be differences where Customs value of goods is not equal to the paid amount from the invoice. Because seller can declared less, or in the other currency, or who knows why. I found out that very rarely is the customs value of goods equal to the invoice value (unless transaction is in over 5 figures range).
So maybe the best approach would be to setup a separate form / field set for inputting customs declared value, with their applicable tax rates, plus extra classification (PA2, PA3 and PA4).
PA1 is the sum of PA2, PA3 and PA4. PA1 is declared on VAT3 while PA2, PA3 and PA4 are declared on the RTD return (which are also missing on the manager report)
See example below:
@anony253 what tax code or tax codes are you currently using to record these transactions? Ireland localization will give you some tax codes by default. Are you using tax codes provided by localization or did you create your own tax codes because they were not available in localization?
At the moment, I just do it manually, I have to keep a note of all the amounts and categories they go to, in an notepad document, because to my knowledge, manager doesn’t support this functionality out of the box. It did before, but then it was removed when report transformations were restricted and a lot of functionality was blocked (related to report transformations).
If the report transformations functionality worked as before (of if the functionality wasn’t being restricted), then it would have been possible to do this, but since it is restricted, I was not able to re-create any of these two reports at all, and by that I mean, not even replicate the current functionality, let alone add more stuff like Postponed accounting in.
I would like to fix the localization for Ireland to include this, but localizations aren’t available publicly any more, so that is also not possible.
Let me know if I can help in any way to solve this problem. I have a few ideas of how this could potentially be done.
