Starting to use QuickFile

Self-employed sole trader here.

I started using QuickFile year commencing 01/04/2022.
Before that I was using Excel spreadsheets.

At the end of the tax year 2021 I had a VAT liability and two outstanding invoices waiting to be paid into my business account

I paid the VAT liability from a personal account and totally ignored the two outstanding invoices from my QuickFile software when they were paid into my business account as they were from the previous year, and had been taken care of.

My first invoice in QuickFile was on the 03/04/2022 and was paid on the 12/04/2022, which was my first entry into the QuickFile software. From there I continued using QuickFile and everything seems to be okay.

My business bank account had a zero balance at the beginning of the 2022 tax year when I started using QuickFile so that wasn’t affecting anything.

Can I leave this as it is, or do I need to do something if it is wrong.

Hi @davepike

Unfortunately none of the support team here at QuickFile are accountants, so in this instance we’re not able to help you.

However, there are accountants that use the forum, so I’ll leave this thread open in case any of them are able to offer you advice.

Sorry I couldn’t be more help on this occasion, but if you require any further assistance, please don’t hesitate to reach out.

Thank you very much Sian

Hi Dave,
From what you have said it may be that your bank on QuickFile doesn’t quite balance, if you have ignored those payments that came in to your business account, or they may just need tagging once the invoices are on the system.
If you use Cash Accounting for VAT then you will definitely need to put the two outstanding sales invoices on to quickfile (breaking down the net and the VAT as normal - using the original (pre QF start) date of the invoices is fine). You will then need to tag the receipts that came into your bank account to these two sales invoices…
If you are cash accounting for VAT then the VAT on those sales invoices will be (and should be) included on your VAT return this quarter. Providing the underclared VAT is less than 10k, then you are fine to include on the current VAT return.
It may be a good idea to speak to your accountant and perhaps let them have access to quickfile to make sure everything on the year end accounts is ok, and that the VAT balances.
Anna

Hi Anna
Thank you for your reply
My tax year ended 31st march 2022 as did my VAT quarter. So early April I submitted my VAT return and paid it.
My year was complete and I just had 2 outstanding invoices (waiting to be paid ) from the previous year. These were both paid by the 8th April.
I then emptied the account and started afresh. Then on 15 April my first invoice for 2023 was paid. So my QF account and bank account both balanced. And I’ve gone on from there with no apparent problems.
My question is should I have done it that way and if not, do I need to change it in regards to HMRC?
By the way, I am a soul trader if that makes any difference.

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