My accountant has advised that a software purchase (winzip) should be recorded as a purchase of services rather than goods. As the item is also an EC reverse charge item, she has advised that the VAT amount should be recorded in the VAT return in boxes 1 and 4, and the net amount in boxes 6 and 7. On QF, I followed the process for setting up the supplier as an EC supplier and ticked the reverse charge box in the purchase entry. When I entered the purchase on QF, I first categorised it as an IT consumable. When I went through to generate the VAT return, the relevant amounts from this purchase were not included in boxes 1 or 6. I also tried categorising the purchase as Consultancy Fees, to see if this would treat the purchase as a purchase of services, but boxes 1 and 6 still didn’t include the relevant amounts. Any advice on solving this would be greatly appreciated.
Hello @grml
Welcome to QuickFile.
Currently QuickFile only supports goods from EC suppliers, so in the case of a service, a manual adjustment would be needed on the VAT return.
On the VAT return itself, if you click on the little arrows in the box you wish to adjust, you can amend the amount and add notes for your own records. We only send the final figures to HMRC - the adjustments and the notes are saved to your QuickFile account for future reference.
Thanks Mathew, that’s very useful.
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