Hi guys! As you may know, MTD will be mandatory for all VAT registered businesses from April 2022.
My next VAT return will cover July 2021 - June 2022, I use Flat Rate and Annual scheme, which means that I am required to keep digital records of my sales and not of my expenses unless they are reverse charge purchases.
Almost all my sales and reverse charge purchases happen on Amazon’s websites. For sales, Amazon sends the invoices directly to the customers and stores them on their website. For reverse charge purchases, I get a single invoice at the end of each month with the total for each daily fee.
I found a useful report to download. So what should I do now to create this “digital link”? I created a spreadsheet with a tab where I can import the report spreadsheets monthly and another one that gives me all the monthly totals that I can save as CSV and upload here on Quickfile, as suggested in many posts here.
At the moment, the tab with the monthly totals has both expenses and sales. Should I use it like this and upload it as a bank statement on Quickfile Amazon’s merchant account, then create the invoices by tagging these transactions? Or should I divide sales and expenses into two tabs/CSVs and upload them as Sales Invoices and Purchase Invoices, then create the payments?
If your calculating your VAT return external to QuickFile, you could use the Bridging module (See Link below)
Alternatively you could import a total for “daily sales” or similar into “Bulk Sales” client
This would mean, rather than having 100s of invoices, just input your daily sales as one invoice on the “Bulk Sales” client.
VAT information may be captured and retained in other software (for example, sales invoicing software or general ledger systems). However, if this software is not used to maintain your electronic account, there is no requirement for a digital link to be used when data is transferred to the electronic account.
Amazon would be the “sales invoicing software” in this case.
Taken from the link below
4.2.1, here - https://www.gov.uk/government/publications/vat-notice-70022-making-tax-digital-for-vat/vat-notice-70022-making-tax-digital-for-vat#digital[…]keeping
Hi @QFSteve, thanks for your reply.
I would prefer to do all the accounting on Quickfile instead since I find it very useful also for year-end accounting and to record transactions made in different currencies with their currency gain/loss.
Does this mean that, since the Amazon seller platform is not used for my electronic accounting, all my electronic accounting is within Quickfile and I can upload the information on here however I prefer (either manually or with the downloaded spreadsheet)?
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