The VAT Return If you haven't already started your VAT Return, you can find out everything you need to know in our Help Centre.
How the VAT Return calculates | Box | Details | Tax codes included | Transactions included | | | VAT charged on supplies of Goods & Services. | T0, T1, T2, T3, T6, T10, T11, T12, T13, T14, T16, T19, T20, T21, T27, T28, T31, T32, T35, T36, T39 | SI, SC, BR, VR, CR, JC | | | VAT due on intra-EU acquisitions. | T8, T18, T24, T25, T26, T29, T30, T33, T34, T37, T38, T39, T40, T41, T42, T43, T44, T45, T46, T47, T48, T49, T50, T51, T52 | PI, PC, BP, VP, CP, JD | | T1 | Total VAT due, therefore the total of boxes 1 and 2. | N/A | N/A | | T2 | Total VAT on purchases. | T0, T1, T2, T3, T6, T8, T10, T11, T12, T13, T14, T16, T18, T19, T20, T21, T24, T25, T26, T27, T28, T29, T30, T31, T32, T33, T34, T35, T36, T37, T38, T51, T52 | PI, PC, BP, VP, CP, JD | | T3 | Net Payable. | Excess of T1 over T2 | Excess of T1 over T2 | | T4 | Net Repayable. | Excess of T2 over T1 | Excess of T2 over T1 | | E1 | Total goods to other EU countries. | T4 | SI, SC, BR, VR, CR, JC | | E2 | Total goods from other EU countries. | T5, T7, T8, T15, T17, T18, T25, T26, T29, T30, T33, T34, T37, T38 | PI, PC, BP, VP, CP, JD | | ES1 | Total services to other EU countries. | T22 | SI, SC, BR, VR, CR, JC | | ES2 | Total services from other EU countries. | T23, T24 | PI, PC, BP, VP, CP, JD | | PA1 | value of goods imported under Postponed Accounting (net plus carriage, insurance and freight (CIF)) | T39 - T50 | PI, PC | | For information only: | | | | | Total value of sales, excluding VAT. | T0, T1, T2, T3, T4, T6, T10, T11, T12, T13, T14, T16, T19, T20, T21, T22, T23, T24, T27, T28, T31, T32, T35, T36 | SI, SC, BR, VR, CR, JC | | | Total value of purchases, excluding VAT. | T0, T1, T2, T3, T5, T6, T7, T8, T10, T11, T12, T13, T14, T15, T16, T17, T18, T19, T20, T21, T23, T24, T25, T26, T27, T28, T29, T30, T31, T32, T33, T34, T35, T36, T37, T38, T39, T40, T41, T42, T43, T44, T45, T46, T47, T48, T49, T50, T51, T52 | PI, PC, BP, VP, CP, JD |
Confirm the figures on the VAT Return Once you’ve calculated your VAT Return, you can select to see a breakdown of. If you want to see the included transaction, then double-click the value. You can then use the reports to confirm the figures in each of the boxes on the VAT Return. Select the relevant box below to see which reports to run to confirm the values are correct. - On the VAT Return window, press Reconciliation reports and open the Reconciliation reports folder.
- Select VAT Cash Accounting.
▼ VAT charged on supplies of Goods and Services The value in box 1 is to agree with the nominal activity history balance on your Sales Tax Control Account. This is when you calculate it for the same period. Box 1 is to agree with: | | The VAT amount of the transactions on the Day Books: Customer Invoices (Detailed) report. | | Less | The VAT amount of the transactions on the Day Books: Customer Credits (Detailed) report. | | Plus | The VAT amount of the transactions on the Day Books: Bank Receipts (Detailed) report. NOTE: Add each bank account VAT total together to see the full VAT amount. | | Plus | The VAT amount of the transactions on the Day Books: Credit Card Receipts (Detailed) report. NOTE: Add each bank account VAT total together to see the full VAT amount. | | Plus | The VAT amount of the transactions on the Day Books: Cash Receipts (Detailed) report. NOTE: Add each bank account VAT total together to see the full VAT amount. | | Plus | The value of any journal credits posted to the Sales or Purchase Tax Control Accounts with a vatable tax code. | | Plus | The value of T20 reverse charge transactions and T24 transactions when they’re linked to T1. | Why the values can differ - You've used different date ranges when calculating the VAT Return and running the day books reports
- You've excluded one or more of the bank accounts from the day books reports
- You've entered a VAT amount transaction where the tax code doesn't appear on the VAT Return
- You've included unreconciled transactions from before the specified VAT period on the VAT Return but they don't appear on the day books reports
- You've created manual adjustments. To view or amend manual adjustments:
- In the VAT Return window, select the Reconcile VAT Return button, then select the View adjustments button.
▼ VAT due on intra-EU acquisitions and postponed VAT The value in this box is the notional VAT calculated on T8 transactions when T8 is linked to T1. This figure is to be 23 % of the value of your T8 transactions. NOTE: Notional VAT is for Revenue reporting only and doesn't affect your VAT liability.
▼ [T1] - Total VAT on Sales The value in this box is to agree with the nominal activity history balance on your Purchase Tax Control Account when calculated for the same period. Box 4 is also to agree with: | | The VAT amount of the transactions on the Day Books: Supplier Invoices (Detailed) report. | | Less | The VAT amount of the transactions on the Day Books: Supplier Credits (Detailed) report. | | Plus | The VAT amount of the transactions on the Day Books: Bank Payments (Detailed) report. NOTE: Add each bank account VAT total together to see the full VAT amount. | | Plus | The VAT amount of the transactions on the Day Books: Cash Payments (Detailed) report. NOTE: Add each bank account VAT total together to see the full VAT amount. | | Plus | The VAT amount of the transactions on the Day Books: Credit Card Payments (Detailed) report. NOTE: Add each bank account VAT total together to see the full VAT amount. | | Plus | The value of any journal debits posted to the Sales or Purchase Tax Control Accounts with a vatable tax code. | | Plus | The value of T20 reverse charge transactions and T24 transactions when they’re linked to T1. | Why the values can differ - You haven't cleared values from previous VAT Returns from the Sales Tax Control Account
- You entered journals directly to the Sales Tax Control Account with a tax code that don't appear in the VAT Return. For example, T9
- You specified different date ranges when calculating the VAT Return and the balance on the Sales Tax Control Account
- You've entered an opening balance onto the Sales Tax Control Account
- You've entered a VAT amount transaction where the tax code used doesn't appear in the VAT Return
- You've included unreconciled transactions from before the specified VAT period on the VAT Return. They don't appear on the day books reports
- You've posted transactions with a vatable tax code but the transaction types don't appear in the VAT Return, such as sales discounts
- You've created manual adjustments. To view or amend manual adjustments:
- In the VAT Return window, select the Reconcile VAT Return button, then select the View adjustments button.
▼ [T3] - Net Payable (Excess of T1 over T2) This is the total value of goods sold to customers in other EU countries. The value in this box is the net value of all invoices less all credits and receipts raised with a T4 EU purchase tax code.
▼ [E2] - Total Goods FROM other EU countries This is the total value of goods purchased from suppliers in other EU countries. The value in this box is the net value of all invoices less all credits and payments raised with aT7 or T8 EU purchase tax code.
▼ [ES1] - Total Services TO other EU countries This is the total value of services supplied to customers in other EU countries. The value in this box is the net value of all invoices less all credits and receipts raised with an EU purchase T22 tax code.
▼ [ES2] - Total Services FROM other EU countries The value in this box is the total value of sales, and is to agree with: | | The net amount of the transactions on the Day Books: Customer Invoices (Detailed) report. | | Less | The net amount of the transactions on the Day Books: Customer Credits (Detailed) report. | | Plus | The net amount of the transactions on the Day Books: Bank Receipts (Detailed) report. NOTE: Add each bank account net total together to see the full net amount. | | Plus | The net amount of the transactions on the Day Books: Cash Receipts (Detailed) report. NOTE: Add each bank account net total together to see the full net amount. | | Plus | The net amount of the transactions on the Day Books: Credit Card Receipts (Detailed) report. NOTE: Add each bank account net total together to see the full net amount. | | Plus | The value of any journal credits posted to nominal codes other than the Sales or Purchase Tax Control Accounts, with a vatable tax code. | Why the values can differ - You've used inconsistent date ranges
- You've included unreconciled transactions from before the specified VAT period on the VAT Return, but they don't appear on the day books reports
- You've created manual adjustments. To view or amend manual adjustments:
- In the VAT Return window, select the Reconcile VAT Return button, then select the View adjustments button.
▼ Total value of purchases, excluding VAT The value in this box is the total net value of purchases, and is to agree with: | | The net amount of the transactions on the Day Books: Supplier Invoices (Detailed) report. | | Less | The net amount of the transactions on the Day Books: Supplier Credits (Detailed) report. | | Plus | The net amount of the transactions on the Day Books: Bank Payments (Detailed) report. NOTE: Add each bank account net total together to see the full net amount. | | Plus | The net amount of the transactions on the Day Books: Cash Payments (Detailed) report. NOTE: Add each bank account net total together to see the full net amount. | | Plus | The net amount of the transactions on the Day Books: Credit Card Payments (Detailed) report. NOTE: Add each bank account net total together to see the full net amount. | | Plus | The value of any journal debits posted to nominal codes, other than the Sales or Purchase Tax Control Accounts, with a vatable tax code. | Why the values can differ - You've used inconsistent date ranges
- You've included unreconciled transactions from before the specified VAT period on the VAT Return, but they don't appear on the day books reports
- You've created manual adjustments. To view or amend manual adjustments:
- In the VAT Return window, select the Reconcile VAT Return button, then select the View adjustments button.
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