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AtmosSteveVR
Level 1

All things VAT | Post Your Question Below

have a major issue with my VAT this quarter.
I use a third-party program that creates invoices and syncs them into QBO. I started using that program around 2017. When QBO marks them as paid it mostly syncs back and tells the third-party program that is paid although not all the time.
Since my last VAT return, there was an issue with the third-party program whereby it synced all the invoices from 2017 to the current date back to QBO.
We did something to fix that but I cannot recall what and clearly not enough. I think my VAT bill this quarter currently stands at £4932 although it may come down BUT QBO is showing it as £43,413.37 as being due. There are about £38,000 odd in the exceptions report.
Not sure what to do
Bryan_M
QuickBooks Team

All things VAT | Post Your Question Below

Thanks for joining this forum, @AtmosSteveVR.

 

Let's ensure to correct your VAT in this quarter.

 

Please know that the VAT return QuickBooks generates is based on the transactions imported by your third-party program. 

 

Since you mentioned that this is a re-occurring issue and was fixed in 2017, I suggest contacting your third-party program support to recall steps on how you resolve it.

 

Also, you can review your imported invoices to check duplicated transactions that cause the incorrect balance of your VAT. Here's how:

 

  1. Select Invoices from the Sales tab.
  2. Look for invoices that have duplicates by filtering the Status and Date tabs.
  3. Once you find it, click the dropdown icon below the Action column and select Delete.
  4. Then, click the Delete icon in the prompt message. The system will recalculate the total VAT automatically.

 

Also, reach out to your accountant and perform VAT adjustments. Check out this article for more info: Make VAT adjustments in QuickBooks Online.

 

If the issue persists within QBO, I recommend contacting our Care Team to check your account in a safe environment and find the root cause.

 

Additionally, you can read this article if you want to modify your VAT settings: Set up and edit VAT settings, codes, and rates in QuickBooks Online.

 

You can always return here if you have additional questions about managing your VAT return. We'll be willing to lend a hand. Keep safe, and have a good one.

Johnmaycock
Level 1

All things VAT | Post Your Question Below

Can I do my vat abroad

GeorgiaC
QuickBooks Team

All things VAT | Post Your Question Below

Hi John, thanks for dropping in. With QuickBooks Online, you can work at anytime, anywhere. This means you can perform the same VAT actions (including submitting to HMRC) as you would in the UK.

A K1
Level 1

All things VAT | Post Your Question Below

Hi,

We moved over from Sage to Quickbooks online last week. How do you record a VAT refund? The system does not allow me to match it against the VAT Control account. Our previous return was done in Sage, hence I can`t follow the steps mentioned in the thread to find the earlier return and match refund. We have no earlier return at all in the VAT window. Thank you.

RogelioL
QuickBooks Team

All things VAT | Post Your Question Below

Thank you for reaching out, and welcome to QuickBooks Online. I can see the importance of getting your VAT refund recorded accurately, especially after transitioning from Sage. I'd be glad to guide you through the steps to enter your VAT refund in QuickBooks.


Since your previous VAT return was filed in Sage, you’ll want to record this directly as a bank deposit. Here’s how:

 

  1. Click the +New icon, then select Bank Deposit.
  2. Choose an Account where you want to deposit the refund.
  3. From the Received From, choose who sends the refund (Example: HMRC).
    Note: If you haven't created an HMRC, click the Received From dropdown, then select + Add New
  4. In the Account field, select VAT Control.
  5. Complete any other necessary fields, then click Save and New.

 

This will add your VAT refund without needing to access the VAT tab, which aligns well since your previous returns are on Sage.

 

For ongoing VAT tasks, QuickBooks offers a comprehensive guide on managing VAT returns that might be helpful as you continue using the system: File your VAT return and record VAT payments in QuickBooks Online.

 

Additionally, if you need to assign VAT categories to products, you can follow this guide: Add a VAT category to products and services in QuickBooks Online.

 

If there’s anything more you need as you adjust to QuickBooks, please don’t hesitate to reach out. I’m here to help make your transition as smooth as possible.

MCooney
Level 4

All things VAT | Post Your Question Below

Can someone clarify this for me…We use QBO Advanced

We run VAT on a Cash Basis

We are filing the VAT return for November and December.

A September dated customer invoice was paid in November and discounted. It is showing on both the Exception Report and also in the Sales VAT report (ie twice). Is this an error?

I contacted QBO support and they said it’s because it’s a filed transaction (which it isn’t) and wanted to talk me through undoing the Sep/Oct Return? Surely this isn’t correct?  I am of the understanding exceptions only occur for a transaction changed that has been filed in a previous period.

 

 

CharleneMaeF
QuickBooks Team

All things VAT | Post Your Question Below

Hi, MCooney.

 

Yes, you're correct. Since the invoice for September was paid in November, it is the reason why it shows in the VAT Exception report.

 

To avoid messing your record, I recommend to leave it as it is since your VAT is set up on a cash basis, the outstanding invoice from September was not included in your previously submitted return, as it had not been paid at that time. The invoice shows in the VAT Exception report due to a change made in the previously submitted period. Consequently, the tax amount related to that invoice was not included in your earlier filed return and is now reflected in your current return.

 

For more details, please see this article: VAT exceptions and reports in QuickBooks Online.

 

If you have any further questions or need assistance, please don't hesitate to reach out. We're always here to help.

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