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Omega888
November 18, 2020
Question

vat

  • November 18, 2020
  • 1 reply
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I have entered payments from the bank account for travel and owner's drawings and I used the No Vat code. I see this says it will not appear on the vat return but they are showing up as No Vat(Purchases) with a 0% rate. They are not purchases and also do not come into the 0% rate category so  what do I need to do to keep them off the vat return

1 reply

katherinejoyceO
katherinejoyceO
November 18, 2020

Hello there, @Omega888. 

 

Thanks for posting here in the Community. I understand that you'd want to keep the VAT off in the VAT return. 

 

When you choose a No VAT code for your transactions, the amount of the transaction will appear in the report but with no tax amount. 

 

Since this isn't a purchase transaction and doesn't come into the 0% category, I'd recommend you deselect the vat code, or you may not select any vat codes for this transaction so it won't appear in the VAT returns. 

 

To learn more about Vat codes and when to choose them, check out these articles for future reference:

 

 

Let me know if you have additional questions about VAT returns, @Omega888. I'm always around here to help. 

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Omega888Author
November 19, 2020

Thank you Katherine. I looked at it with fresh eyes this morning and now have it sorted. I am coming off Quickbooks desktop which I have used for 30 odd years. In that, you could leave the vat code blank when entering the transactions or choose OOS or No vat, and the transaction did not appear on the return. In quickbooks online the two codes mentioned above show up as a 0% rate on the return so I now see that you need to choose the 'Amounts Are' box on entry and you can choose inclusive or exclusive of vat and the one I needed, 'Outside of scope of Tax' is available there also. So if anyone else is having this problem, that is the simple solution. 

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