Hi,
I have just set up new client account and created invoices for his clients. He is on VAT flat rate and I wanted to create historical VAT return for period 13th October - 31 st December . Gross total from invoices is for period £28620 but VAT return shows £30870, which means it includes invoice dated 5th October, which is dated before VAT registration. Dates on VAT settings and return are 13th October. Why VAT return includes invoice before that date and how to correct it?
Is cash or accrual basis?
Accruals, but I don’t see how this is relevant. Invoices which were issued at the end of December and paid in January were not included in VAT return, only invoice prior VAT registration.
@DorotaD - In the screen @FaradayKeynes mentions above, there’s also an option to enter a VAT start date. Please can you also check this setting as it may be pulling in invoices or payments before your actual start date if it’s entered incorrectly
Thank you guy, indeed that was the issue. I did not notice default cash accounting setting. Problem solved!
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