I have a problem with accounting for a foreign branch. This branch needs to do it’s own accounting, that is merged to the UK company. The branch is VAT registered abroad.
For sales, QF works well (As far as I can see now) If a sale is invoiced by the foreign branch, I just book the sale in QF and tick Out-of-Scope. Foreign VAT details are kept on the invoice. Then, I manually clear account 2200 via a journal to a custom “Foreign VAT Liability” account.
Unfortunately, it doesn’t work the same way for purchases. If a purchase is made by the foreign branch, I cannot simply tick it as out-of-scope. I can change it to out-of-scope on Supplier page, but in such case the foreign VAT details are deleted from a purchase invoice and set to 0%. Which is incorrect. (Also it is quite annoying as I have to duplicate suppliers who are used by both, UK company as well as foreign branch).