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Everything you need to know about banking in QuickBooks Online - Discover more
JackS
Moderator

All things VAT | Post Your Question Below

 

This article aims to help you with all things VAT. It may be that you need help recording VAT payments, submitting a VAT return or you need a hand with setting up VAT. Post your questions below and we'll have an expert get back to you.

 

 

 

VAT.png

 

 

 

 

24 REPLIES 24
Debbie Saines
Level 1

All things VAT | Post Your Question Below

I am trying to record vat refund but unable to allocate to correct bank account.  Dropdown box does not give me any options

Ashleigh1
QuickBooks Team

All things VAT | Post Your Question Below

Hello Debbie Saines, thanks for posting on this thread, how are you trying to record this vat refund exactly? Can you provide us with the steps you are taking to do this so that we can look into this more for you. 

Peter Milne
Level 1

All things VAT | Post Your Question Below

I am having the same issue - I am unable to record the VAT refund using the VAT drop down box.  There is no option to choose the bank account.

Mark Armistead
Level 7

All things VAT | Post Your Question Below

I'm just recording my VAT payment of £3425.49 which is correct. What is the £1868.13 in relation to? My current period VAT100 report shows nothing like that amount so far?

 

Screenshot 2023-09-12 at 15.02.59.png

Mark Armistead
Level 7

All things VAT | Post Your Question Below

@Debbie SainesYou can flick between your accounts by using the up or down buttons on your keyboard. Mine was doing the same but using the navigation keys gets you around the problem while Intuit add this to their ever growing bugs list. If they have one, probably not.

Ashleigh1
QuickBooks Team

All things VAT | Post Your Question Below

Hello Mark, so the Total VAT Due is all the unpaid VAT for the filed returns in QBO, whereas VAT Due this period is the amount due for your current return. You may possibly have a VAT Refund or Payment from an earlier VAT period that hasn’t been recorded.

Mark Armistead
Level 7

All things VAT | Post Your Question Below

All payments are up to date but as far as my current period it's at -£38.60, been a heavy purchase quater so far. No idea where the other amount shown in the payment is from. I've not had full confidence in VAT since moving over the data fully from QBD last year.

Is there a way to view where this missing payment is located?

QueenC
Moderator

All things VAT | Post Your Question Below

Thanks for replying back, Mark. I appreciate the opportunity given to further and answer your queries. 

 

I agree that the Total VAT Due showing in QuickBooks Online is your unpaid VAT obligation. To be able to view your missing VAT payments, you can run the VAT Liability Report. I would be more than happy to guide you through the steps involved in generating this report.

 

Here's how:

 

  1. Go to the Reports menu.
  2. In the Find report by name section, enter VAT Liability Report.


     
  3. Click on the report to open.
  4. You can customize the Report period, VAT Agency, and Accounting method.


     
  5. When done, hit Run report.

 

There, you can now get a detailed look at the taxes you owe and why you owe them. This helps you make sure everything is accurate before you file your return to your tax agency. You can check out this article to learn more about running this report and how to file your VAT return: Check how much VAT you owe in QuickBooks Online.

 

Additionally, aside from customizing your reports, please know that QuickBooks Online also offers us the ability to memorize our customized reports so we don't have to report the process all over again every time we run the same report. To get started, feel free to browse through this article: Memorise reports in QuickBooks Online.

 

Please don't hesitate to ask any questions along the way. My utmost priority is to ensure that you feel confident and empowered in managing your VAT payment stubs. Thank you for choosing QuickBooks Online, and I eagerly anticipate the opportunity to provide you with further assistance.

Mark Armistead
Level 7

All things VAT | Post Your Question Below

@Ashleigh1After going over the figures I can see that this is  wrong, and wrong is a few ways.
Firstly I don't have any outstanding VAT to be paid, other than the figure of £3425.49, which is what I was recording after VAT going out on the 12th.
 
The £1868.13 is NOT the due figure for the current quarter. This is in fact than the total amount of VAT due on SALES ONLY. If this figure is to show the current periods VAT due, it should be the correct figure of the difference between VAT on sales and VAT on purchases!
This figure is also incorrect as it's the total of VAT on sales only but based on ACCRUAL AND NOT CASH. I pay my VAT using the cash scheme and it is setup that way in QBO.
 
What I do have to ask, after again wasting more time trying to figure out Intuits thought process here. Why is this even on this payment page? It's not even a factor when assigning a payment to previous quarter or period????

 

Mark Armistead
Level 7

All things VAT | Post Your Question Below

And zero response to the obvious issue with the VAT?

GlinetteC
Moderator

All things VAT | Post Your Question Below

I understand encountering issues with VAT figures in QuickBooks Online has caused you inconvenience, Mark. And I know you've already contacted our support team regarding this matter.

 

As much as I want to help you resolve this, I am unable to do it here in the Community as this is a public space. I'd still recommend contacting our support once again to address account-specific concerns. They have tools to access your account and investigate this further.

 

Once everything gets fixed, consider generating the VAT Liability report to review and track your VAT obligations. The report provides a detailed breakdown of each VAT agency, the taxable amount of sales, and payments. By reviewing this report, you can ensure that your VAT calculations are accurate and identify any discrepancies or errors.

 

The Community is here to assist you with further questions about VAT or any related concerns. 

Mark Armistead
Level 7

All things VAT | Post Your Question Below

The problem isn’t the accuracy of the final vat return, it’s the terrible information that QBO is presenting to the user as being fact. This leads to unnecessary wasting of more time trying to understand the issue, when in fact it’s Inuit causing the problem.
Now, I’ve identified, yet another bug, why should I be wasting yet more time calling support to show? Yet another bug, which doesn’t get addressed of fixed. Sick or reporting them and never being told of any resolution. 

Salmon148
Level 1

All things VAT | Post Your Question Below

I ma having the axactly same problem.

I can't choose the bank account for the VAT payment to HMRC.

Can anyone help please???

AlcaeusF
Moderator

All things VAT | Post Your Question Below

Hi Salmon148,

 

Thank you for posting here in the Community. I can help you add your bank account when making a VAT payment to HMRC in QuickBooks Online.

 

We haven't received similar reports from other users about the issue when adding a bank account to the VAT payment. Since you're getting an unusual behavior, it may be possible your browser's stored cache is full.

In the meantime, you can perform some troubleshooting steps to isolate and resolve the issue. This process allows you to access sites without storing data in the cache.

 

Use these keyboard shortcuts depending on the browser you're using:

 

  • Google Chrome: press Ctrl + Shift + N
  • Mozilla Firefox: press Ctrl + Shift + P
  • Mircosoft Edge: press Ctrl + Shift + P
  • Safari: press Command + Shift +N

 

If you can add your bank without issues, let's switch back to the regular browser and clear its cache. This way, you can restore the default setup of the browser and start with a clean slate.

 

In case private browsing doesn't work, let's use another supported web engine to determine if it's browser-related. Sometimes, errors persist because of the stored files and compatibility issues.

 

The tax center has everything you need to handle tax in QuickBooks. I've also attached a link you can visit to learn how to run reports for your VAT liabilities, record or edit VAT payments, and see your payment for different periods: Manage VAT payments in QuickBooks Online.

 

Comment below if you have additional questions about recording a VAT payment. We're always here to help. Take care always.

Debbie Cotopaxi
Level 1

All things VAT | Post Your Question Below

Hi, we have an invoice, where by we purchased goods in Germany and they where shipped directly within Germany toe site. We have been charged 19% VAT but this is not reclaimable. We shouldn't have shipped this method, to be honest. 

I used the code EU GM 19% but this is showing in my VAT report as reclaimable.

Can you please advise how to adjust?

Thanks

emmam6
Moderator

All things VAT | Post Your Question Below

Hello Debbie, thanks for getting in touch about adjusting your VAT. You can adjust the VAT using the article we've linked as a guide. We would recommend speaking to an accountant to confirm they are happy with this or HMRC as it looks like you are using a manually created code if you are using the UK version as it does not have a 19% EU code as standard.

ChrisPiggott
Level 1

All things VAT | Post Your Question Below

HI

 

I have changed from QB desktop - really old - to QBO. 

 

I have transferred all transactions including previous 2 years with using spreadsheets etc.

 

The previous years sales (not produced on QBO) have imported with the wrong tax amount - it duplicated the invoice value.

 

I have adjusted the correct tax value which now gives a huge difference in VAT - I cant see anyway to change the VAT to confirm that the amounts do not mean HMRC owe me money (I wish !) and I need to do so urgently as the exception report has shown on the current return.

 

Help please!

 

JanbonN
QuickBooks Team

All things VAT | Post Your Question Below

Welcome to the Community, Chris. This isn't the experience we want you to have. No worries, I've got the steps you can follow to solve this.

 

First, let's confirm the company settings. Although we can move your accounting figures into QuickBooks, we don't carry over information like company name, address, and email details.

 

  1. Go to the Gear icon, then choose Accounts and settings.
  2. In the Company tab, enter your company and contact info.
  3. Update the email addresses to ensure billing and customer communications are handled correctly.
  4. Select Save.

 

Second, confirm your VAT settings. It's essential that QuickBooks Online is set up with the correct VAT registration number and filing frequency before you and your client start using it. You can skip this step if your business isn't registered for VAT.

 

  1. Go to Taxes, then choose VAT.
  2. Select the Edit VAT dropdown and select Edit Settings.
  3. Enter the Tax registration date.
  4. Make sure How often do you submit a VAT return to HMRC? Is correct and change Which VAT accounting scheme do you use? If required.
  5. Select Save.

 

Third, clean up VAT. Because you have never filed VAT using QuickBooks Online before, QuickBooks Online assumes that all VAT recorded in the accounts is now due. This means the VAT balance shown in QuickBooks needs to be corrected. Enter the date of the last VAT filing from your QuickBooks Desktop file. This will ensure the VAT balance shows correctly and that future VAT returns are accurate.

 

  1. Go to Taxes, choose VAT, and select Prepare Return.
  2. Enter the Start Date and End Date in the Prepare VAT Return screen.
  3. Select the Mark as Filed button, then click Continue to confirm that the VAT returns have been filed up to the To Date.
  4. You'll be taken to the VAT screen. You need to enter a reverse journal entry to ensure your current balance is correct.
  5. Select Save and new.

 

The VAT balance shown in QuickBooks should now be correct, ensuring that future VAT returns are accurate.

 

You can refer to this article for a detailed step. Follow steps 2, 3, and 4: Post-conversion checks for getting started with QuickBooks Online.

 

If you need assistance with the process, I recommend contacting our support team for guidance.

 

Additionally, you can refer to this article about recording, managing, and deleting VAT payments in the tax centre: Manage VAT payments in QuickBooks Online.

 

Let me know if you have other VAT-related concerns. I'm here to assist. Keep safe.

Jesmond B
Level 1

All things VAT | Post Your Question Below

When I am trying to record a VAT payment I enter the VAT paid in the payment amount box. When I have done I am no longer able to reconcile my bank balance as the figure entered has now created a difference. This is effectively double counting as payment will be recorded is part of the transaction when the funds are paid to HMRC. 

JanbonN
QuickBooks Team

All things VAT | Post Your Question Below

Is your bank account connected to QuickBooks Online (QBO)? @Jesmond B.

 

If it is, one reason the amount is being double counted is due to a manually entered transaction for the VAT payment. You only need to match the VAT payment you made to the transaction from your bank.

 

To avoid double counting, please delete the manually added VAT payment transaction located in the bank register of the account you used for the VAT payment.

 

  1. Go to the Gear icon.
  2. Choose Chart of accounts.
  3. Navigate to the account you used for the payment and click View register.
  4. Locate the VAT payment and delete it.

 

Additionally, you can refer to this article for more information on what to do if QBO doesn't match your bank statement at the end of a reconciliation: Fix issues at the end of a reconciliation in QuickBooks Online.

 

Please let me know if you have any further questions about your reconciliation. I'm here to help you in any way I can.

peter.williams
Level 1

All things VAT | Post Your Question Below

This process of recording a VAT refund is not clearly explained.  The screens with options you say are there are not.  If so many people are having trouble hasn't it occurred to someone at Intuit that the software is poorly designed?  The so called help pages take you round and around but never get close to answering the problem

CarlSJ
QuickBooks Team

All things VAT | Post Your Question Below

This is not the experience we want you to have, Peter. Let me guide you through the steps of recording a VAT refund in QuickBooks Online (QBO).

 

Keeping accurate records of VAT refunds is crucial for the smooth functioning of your business. To record this, here's how:

 

  1. Go to the Taxes tab and select VAT.
  2. In the Returns section, select the All Returns.
  3. Choose the exact VAT period you need.
  4. Click the View Return ▼ dropdown, then select Record Refund.
  5. Select the bank account where you would like to receive the refund.
  6. Fill in the Refund Date and Refund Amount fields with the appropriate info.
  7. You can add a memo if needed.
  8. Click Save.

 

For more information, please refer to this article: Record a VAT payment or refund in QuickBooks Online.

 

If the options on your end are still not showing after performing the steps above, it would be beneficial if you could provide screenshots so we can assist you effectively.

 

Furthermore, this article can help you learn to set up VAT reminders to avoid any possible penalties: Set up VAT email reminders in QBO.

 

I'll be glad to help if you require additional assistance with recording VAT refunds or any QuickBooks-related concerns. Take care.

peter.williams
Level 1

All things VAT | Post Your Question Below

CarlSJ May 13 2024 12.19

The steps you suggest can't be followed.  There is no option on the VAT page to "View Return" it doesn't exist.

I presume that as there is one ' Open Return' dated 01/02/2024 that is the one your talking about?  But believe me, there isn't an option to "View Return".

 

The software is just about as impossible as it can be.  I have to go to a couple of sites but should be back by 12:30 if someone can call me.

MAnneJ
QuickBooks Team

All things VAT | Post Your Question Below

Understandably, you would feel disappointed by this, Peter. No worries. I'll ensure you can sort things out by recording your VAT refund. 

 

The fourth step my colleague @CarlSJ provided refers to the View Return ▼ on the picture you've added. Please refer to the screenshot I've marked from yours below: 

 

 

However, if you're still unable to proceed, I suggest contacting our Customer Support team. By doing this, you can inform them of the issue you've encountered, and they have the appropriate tools to investigate this matter. 

 

Here's how: 

 

  1. Sign in to your QuickBooks Online company.
  2. Select Help (?).
  3. Select Contact Us and choose a way to connect with us:
  •   Start a chat with a support expert.
  •   Get a callback from the next available expert.

 

You can contact us from Mondays to Fridays, 8:00 AM to 10:00 PM, and Saturdays to Sundays, 8:00 AM to 6:00 PM.

 

Furthermore, you might want to refer to this article if you set up MTD for VAT in QuickBooks Online to help you set up a VAT email reminder: Set up VAT email reminders in QuickBooks Online.

 

I'll be here in the comments if you need additional assistance recording your VAT refunds and any QuickBooks-related concerns. Just add your reply, and I'll keep an eye out for it. 

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