I've just gone VAT registered January and started with Quickbooks at the same time. I understand that I might claim VAT on capital assets I still own that I purchased before registration. So I have worked out that I have around £2k that I need to reclaim on my first return. Given that these purchases predate theVAT period How do I add this 2k into Quickbooks so it will show up in my VAT return? Thanks.
Hello Jazzybear,
Welcome to the Community - thank you for your question!
You could create an adjustment on Box 6 to include the amount you are due to reclaim, however we would suggest to speak to an accountant to check how they would like you to record this, and whether they feel an adjustment would be correct. Otherwise, you could reclaim this in your next VAT period, by putting VAT on the transactions of you purchasing the assets so it creates an exception in the current period.
Thanks,
Talia
Enter your E-mail address. We'll send you an e-mail with instructions to reset your password.