Skip to main content
M
martyneco
December 30, 2020
Question

how do i record VAT refunds from HMRC from a previous return, when not using quickbooks

  • December 30, 2020
  • 1 reply
  • 0 views

I have 2 VAT refunds from different quarters from HMRC that were received prior to using quick books.

 

How do I go about recording these? I'm fairy new to quick books so the more info you can give me the better. I did record them to the VAT suspense account but when setting the VAT code I'm only getting an option for sales or purchases when these  payments are neither. Thank you.

 

 

1 reply

R
RCV
December 30, 2020

Let me help you record a VAT refund from HRMC in QuickBooks Online (QBO), martyneco.

 

As the refund relates to a period not filed within QBO, we can create a deposit and allocate it to a separate income account. We can create and call it a Historic VAT Refund. Also, you're unable to allocate this against the VAT Suspense account since the tax has not been accounted for in QuickBooks. To record it, let's create first an income account. Here's how:

  1. Go to Accounting on the left menu and choose Chart of Accounts.
  2. Click New.
  3. Select the Account and Detail Types.
  4. Enter the desired name.
  5. Press Save and Close. 

As always, you can reach out to your accountant on the best way to categorise the refund. Then, make a deposit by following the steps below:

  1. Click the New Plus sign (+) icon.
  2. Choose Bank Deposit.
  3. Fill in the necessary fields under Add funds to this deposit.
  4. Press Save and close. 

Once you're ready to file the form, follow the steps and details in the submit a VAT return article. Feel free to visit our Taxes page for more insights about managing your sales tax in QBO.

 

I'm just one post away if you need a hand with running tax reports or any QucikBooks related. I'll be here to ensure your success. You have a good one.

Terms & ConditionsAccessibility statement