I use quarterly cash accounting for my VAT but I notice that in the tax summary, the VAT shown as ‘Accumulated Sales VAT’ is the total VAT for all sales in the current period despite not having been paid in full for the invoices I have issued. Some clients may not get around to paying by the time I do my VAT return so the VAT won’t be due until the following quarter.
If this is intended behaviour, is there a report I can generate to show the VAT due on payments received so far? (Otherwise this is the report for accrual, not cash accounting, isn’t it)?
The simplest way to get this information is to prepare a VAT return for the relevant period - the form you get will show the numbers for everything in that period to date - but stop short of actually pressing the submit button.
It’s not about whether you’ve been paid before you submit the return, it’s about whether you’ve been paid within the quarter to which the return applies - if you raise an invoice in November, get paid in mid-January, then submit your Oct-Dec return on 2nd February, then that payment wouldn’t be included as it arrived after the end of December.
@ian_roberts Thanks Ian, I’ll do that instead, then.
Yes, I understood that it’s about whether I’ve been paid within the quarter to which the return applies, I just didn’t say quite what I meant.
Thank you.