Hi, I de-registered for VAT since March 1st as my income is now below the threshold. I charged VAT on my invoices up until this date. How do I now change the settings on Quickfile so that future invoices don’t include VAT, whilst still ensuring that the VAT is charged in Jan and Feb this year are included in this quarter’s VAT return?
For the interim period you will need to leave the VAT Accounting feature switched on (Found in Account Settings >> Company Settings). Those invoices that will not be subject to VAT should be zero rated.
When you file your final VAT return providing you’ve done the above correctly you will get an accurate VAT Calculation in box 5. You may however have higher values in boxes 6 and 7 as the gross value of those sales and purchase invoices will still be included there. You will therefore need to total up the zero rated invoices and enter a negative adjustment into boxes 6 and 7.
If you need any further help, just let us know.
Would it help to mark the invoices and purchases since 1st March as “out of scope”?
I was going to suggest that as an option as it will mean that no manual adjustments on the VAT return will be necessary. It just requires that the supplier VAT preferences are updated for any suppliers with invoices in that transition period. It’s OK if you don’t have too many suppliers and invoices that need to be marked as “out of scope”.
This topic was automatically closed after 7 days. New replies are no longer allowed.