I’m buying a car via my limited company.
As it is available for personal use the VAT is not Claimable - as I understand
I’m unclear how I should enter the purchase order.
I’ve initially just entered the subtotal (excl VAT), VAT (at 20%) and Total including VAT. This matches the Invoice from the supplier.
I want to ensure QF doesn’t automatically claim the VAT in my next return - do I amend the PO so it is VAT Exempt and just enter the Total amount, or do I do something when I do the VAT Return?
If the VAT is not reclaimable at all then that means the cost to you of the vehicle is the VAT-inclusive total, so you should enter that in the net column and 0% as the VAT rate.
Thanks for confirming - that makes sense.
I thought it might be possible to classify the purchase so that the VAT paid could be classified in some way as being either claimable or not. But your way is straightforward enough - I’ll just do that…
Yes - thanks.
I use QF’s automatic VAT return functionality. I just thought that there might be a way in QF to flag the transaction so it might automatically leave it out of the return.