Vat return question / help

Accounting
1

Hi,

Please can someone help me.

I pay some purchases with VAT at 20%, which the suppliers give me 30 days to pay.

Some of my sales invoices to clients also are charges VAT at 20% and they are sometimes paid earlier than 30 days.

If I’m doing a VAT return for the month of September 2014, will the VAT from purchases be automatically pulled into the VAT returns report (even if I haven’t paid the purchase invoice yet) ?

Normally I would not need to file VAT return for 1 month but I have to do this for Sept 2014 to bring by quarterly accounting in-line.

Thanks,
Vik.

2

If you are doing vat on cash basis then vat report will be based on expenses actually paid and income received. If on accrual basis then regardless income & expenses paid or not, report will be on invoice basis