Hi, Margarita. Thank you for posting your question about matching VAT payments with your bank transactions in QuickBooks Online (QBO). Let me break this situation down and provide a step-by-step guide to help you resolve this issue.
To better assist you, could you confirm if you have already recorded the VAT payment as an expense in QBO? If not, this could explain why you are unable to match the bank transaction, as the VAT liability would still be sitting in QBO without a corresponding payment transaction to reconcile.
VAT returns themselves are records of the liability but do not function as transactions. If you haven’t used the Record Payment function for your VAT return, QBO won’t create a transaction to match against the bank transaction, and therefore it won’t appear in your bank feed.
If the payment made covers both an outstanding balance from a previous VAT return and the full liability from the current return, the payment has been "split." You’ll need to record both portions of the payment in QBO under their respective VAT returns to match them to the single bank transaction.
Follow these steps to resolve the issue:
- Locate the VAT return you want to record payments for (the new VAT return).
- Click Record Payment in the Return page.
- Enter the payment amount you’ve made.
- If the payment doesn’t cover the full VAT liability, record the partial payment.
- Repeat this step to record all partial payments until the VAT liability is cleared.
- After recording your VAT payments, you will need to match them to the corresponding bank transaction in QBO.
- Go to Accounting and then Bank Transactions.
- Locate the bank transaction that reflects your VAT payment in the Pending tab and then Match it.
Please don’t hesitate to reach out if you need more guidance or have any additional questions. We'll be available to assist you further in the thread.
