The program has added together my figure for “collected on sales” and my figure “paid on purchases” to suggest that I pay HMRC the sum of the two figures. I am pretty sure that I am supposed to deduct the figure “paid on purchase” from the “collected on sales” figure and pay HMRC the balance, not the sum of the two figures. Something is clearly wrong. Any clues?
Let me share information on how QuickBooks calculates your VAT in QuickBooks Self-Employed (QBSE), @ChristopherD.
QBSE calculates your VAT on how you categorise transactions and how you've set up your Tax Profile. Let's review those categorised transactions to verify their correct Category:
Additionally, let's download your Tax Summary and Tax Details to get an overview of your total Spending, Deductions, and Estimated Tax Payments for a specific Category:
However, if you've confirmed that you've set up your Tax Profile and categorised your transactions correctly but still encountered incorrect calculations, it's best to contact our QuickBooks Self-Employed Support Team. They can initiate a screen-sharing session with their tools and identify what causes the problem.
Moreover, you'll also want to check out this article to help you easily categorise your downloaded transaction in the future: Create a bank rule.
Feel free to comment below for any additional assistance with incorrect VAT calculation. We're here to lend a hand.
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