My vat registration date is 28th May 2021 (I was late registering) how do I set this specific date as the start of my vat?

Hello IOWALSH, 

Welcome to the Community page, 

So it is just a case of turning on the taxes/vat page and setting the month to MAY this will then show an open return for you and it is just a case of ONLY tracking the VAT on transactions from that day onwards. 

Thanks Ashleigh. I was thinking along those lines. 

I am having trouble figuring out something else though….

if I send out some VAT only invoices, when I receive the payment in to the bank. How do I mark the payment as being 100% VAT so QuickBooks won’t calculate 20% of the payment as VAT. 

will it just know it’s 100% vat once matched to the invoice? 

thanks

No problem at all there, so to enter in a 100% vat transaction you need to do this 

VAT Only/ 100% VAT transactions 

Recording a 100% VAT expense can be a bit tricky in Quickbooks Online, but dont worry, we have a step-by-step guide on how to record it. 

1. click on the + new sign and choose expense 

2. either choose a payee or leave that box empty.

3. on the first line of the expense choose any of your expense accounts. 

4. for the amount enter a pound (1) and choose 20%S as the Vat code 

5. on the second line choose the same expense account

6. for the amount, enter minsu a pound (-1) and choose EXEPMT as the VAT code

7. The total of the expense will show as 0.

8. under the subtotal the VAT box will become editable. 

9. enter the desired VAT amount into the box and save the expense. 

this will create a 100% VAT transaction that will show in ox 4 on the VAT return. 

Hey Ashleigh,

thanks for this but it isn’t a 100% vat expense. 

it’s me invoicing a client VAT ONLY, and them paying me no net value just 100% VAT deposit. 

How would I record the deposit as 100% VAT

thanks

Thanks for coming back for more support, @IOWALSH. I've got you the steps to record the deposit as 100% VAT in QuickBooks. 

To do this, create bank deposits to receive the payments and ensure to select the correct VAT codes. Then, link these deposits to the invoice. 

Here's how:

1. Click the Plus icon, then select Bank Deposits under Other.
2. Select the account where the money comes from.
3. Select the customer, then select Debtors for Accounts.
4. Provide the description and payment method, then enter the amount.
5. Select VAT code, then click Save and close.

Before doing this step, check with your accountant to make sure the financial statements are correct.

To match the deposit to the customer's invoice, see this article: How to link a deposit to an invoice.

For further insights about using VAT in QuickBooks, I'm including some of these helpful links:

• Common VAT Codes
• VAT
• VAT: Getting Started

Get back to me if you need more help with this. I'll be right up to help you again.

Hi Katherine,

Thanks for this but there is no VAT code for 100% ?