Hi,
I do the bookkeeping for a company, and we have a situation where a supplier had to register for VAT retrospectively, and asked if we could pay the VAT on a transaction that happened last year. This was no problem, as we are also VAT registered.
But my question is, can I post the VAT directly to the VAT control account? This is what I'm planning, but I don't know if it'll definitely work.
When I pay him, I'll do a VAT only transaction, dated for today, so it has the correct date coming out of the bank.
Then I will make two journal entries to move the VAT to an earlier period (let's say £300 on 30/11/2023). So:
Today - Dr Accruals £300, Cr VAT Control £300
30/11/2023 - Dr VAT Control £300, Cr Accruals £300
Thanks for your advice.
