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November 7, 2023
Question

Hi need to Invoice builder for labour it’s new build so nil vat is there a code for that

  • November 7, 2023
  • 1 reply
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1 reply

November 7, 2023

Yes, there's a code for that, astar2013. I'll help you find the right one to invoice your builder for labour accordingly.

 

From your description, you can use either 0% ZNo VAT, or Exempt VAT codes to invoice your builder. Apply 0% Z (Zero Rate VAT) if the labour is categorised as taxable, but the rate is charged at 0%. Utilize No VAT (Out of scope VAT) if it's exempt from VAT or is outside the scope of the UK VAT system. Then, make use of Exempt if it's not taxable.

 

For the complete list of common VAT codes and details on how they’re used on the sales and purchase forms, please see this article: VAT codes in QuickBooks Online.

 

After invoicing, pull up the VAT Detail Report to see a list of transactions included in each box on your VAT return.

 

If you have any other concerns or questions about VAT codes, please feel free to leave a comment below. I'm here to assist you. Take care.