HI
I need to record an item as Zero Rated as we have received some money but it is not to have VAT attached to it we only have the options of 20%, 5% and NO VAT but we need to show it on the VAT Report as Zero…how can i add this or activate this rate please?
Thank you
Use “No VAT” for zero rated sales, but when you say
is this actually a sale of zero-rated goods/services or is it non-trading income? If it’s something that’s outside the scope of VAT entirely you may just need to tag it directly to something like “misc income” via “something not on the list” rather than making a sales invoice.
Hi Ian
Thank you I appreciate your time, I have checked with the accountant as it was a freely given gratuity (tip) and I am required to record it as Zero VAT so it shows on the return
If you want it to show on your VAT return (box 6 only, since there’s no VAT) then you need to create a sales invoice for it set to “No VAT”.
Hi Ian, thank you for your reply. I will so this, thank you, Charmian