I operate my business on VAT flat rate Cash. This means that I only pay the VAT on invoices that have been paid.
At the the end of the Q310 I had 3 outstanding invoices with a total value of £4406.25 gross. (17.5% VAT charged to the customer but 11.5% payable to HMRC)
When I update the VAT to 20% chargeable to customers and 14.5% flat rate on the Business Settings Page, it messes up the VAT Returns report - figures are for all outstanding invoices are calculated at 14.5% including the 3 invoices from last year that should be charged at the old rate of 11.5%
How can I fix this? or work around it?
#1 Posted by Admin Support staff on 07 Apr, 2011 07:10 PM
You might be able to work around it by setting the VAT period end to the
last date of the 17.5% rate. Run a VAT return and you'll have a set of
figures to note down.
Then change the cash rate and set the period to your VAT period end. Run the
report again and it should give the set of figures you need for the 20%
rate.
You should be able to add the total sales, purchases, VAT owed etc. If
you're not sure, please check with an accountant.
On 7 April 2011 17:45, rfl <
[email blocked]> wrote: