I have done vat adjustment in box 4 and box 7 for pre vat registration vat claim. If you need to decrease your vat due such as expense , set up an income account. Why?

Hi Omprakash, thanks for your post - we're unable to advise on which account to offset the VAT adjustment against when entering this, are you referring to a specific Community post or online guide? 

Specific community post

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@GeorgiaC wrote:

Hi Omprakash, thanks for your post - we're unable to advise on which account to offset the VAT adjustment against when entering this, are you referring to a specific Community post or online guide? 

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Welcome back, @Omprakash. 

Before anything else, I'd like to verify which specific Community post you're referring to. This will enable us to determine the basis for your need to set up an income account.

If everything is in order, feel free to browse this article to learn more about handling VAT returns in QuickBooks: Record a VAT payment or refund in QuickBooks Online.

Looking forward to your response to this post. We're available 24/7 to back you up. Take care!