All things VAT | Post Your Question Below

I am having the same issue - I am unable to record the VAT refund using the VAT drop down box.  There is no option to choose the bank account.

@Ashleigh1After going over the figures I can see that this is  wrong, and wrong is a few ways.
Firstly I don't have any outstanding VAT to be paid, other than the figure of £3425.49, which is what I was recording after VAT going out on the 12th.
 
The £1868.13 is NOT the due figure for the current quarter. This is in fact than the total amount of VAT due on SALES ONLY. If this figure is to show the current periods VAT due, it should be the correct figure of the difference between VAT on sales and VAT on purchases!
This figure is also incorrect as it's the total of VAT on sales only but based on ACCRUAL AND NOT CASH. I pay my VAT using the cash scheme and it is setup that way in QBO.
 
What I do have to ask, after again wasting more time trying to figure out Intuits thought process here. Why is this even on this payment page? It's not even a factor when assigning a payment to previous quarter or period????

Welcome to the Community, Chris. This isn't the experience we want you to have. No worries, I've got the steps you can follow to solve this.

First, let's confirm the company settings. Although we can move your accounting figures into QuickBooks, we don't carry over information like company name, address, and email details.

1. Go to the Gear icon, then choose Accounts and settings.
2. In the Company tab, enter your company and contact info.
3. Update the email addresses to ensure billing and customer communications are handled correctly.
4. Select Save.

Second, confirm your VAT settings. It's essential that QuickBooks Online is set up with the correct VAT registration number and filing frequency before you and your client start using it. You can skip this step if your business isn't registered for VAT.

1. Go to Taxes, then choose VAT.
2. Select the Edit VAT dropdown and select Edit Settings.
3. Enter the Tax registration date.
4. Make sure How often do you submit a VAT return to HMRC? Is correct and change Which VAT accounting scheme do you use? If required.
5. Select Save.

Third, clean up VAT. Because you have never filed VAT using QuickBooks Online before, QuickBooks Online assumes that all VAT recorded in the accounts is now due. This means the VAT balance shown in QuickBooks needs to be corrected. Enter the date of the last VAT filing from your QuickBooks Desktop file. This will ensure the VAT balance shows correctly and that future VAT returns are accurate.

1. Go to Taxes, choose VAT, and select Prepare Return.
2. Enter the Start Date and End Date in the Prepare VAT Return screen.
3. Select the Mark as Filed button, then click Continue to confirm that the VAT returns have been filed up to the To Date.
4. You'll be taken to the VAT screen. You need to enter a reverse journal entry to ensure your current balance is correct.
5. Select Save and new.

The VAT balance shown in QuickBooks should now be correct, ensuring that future VAT returns are accurate.

You can refer to this article for a detailed step. Follow steps 2, 3, and 4: Post-conversion checks for getting started with QuickBooks Online.

If you need assistance with the process, I recommend contacting our support team for guidance.

Additionally, you can refer to this article about recording, managing, and deleting VAT payments in the tax centre: Manage VAT payments in QuickBooks Online.

Let me know if you have other VAT-related concerns. I'm here to assist. Keep safe.

Is your bank account connected to QuickBooks Online (QBO)? @Jesmond B.

If it is, one reason the amount is being double counted is due to a manually entered transaction for the VAT payment. You only need to match the VAT payment you made to the transaction from your bank.

To avoid double counting, please delete the manually added VAT payment transaction located in the bank register of the account you used for the VAT payment.

1. Go to the Gear icon.
2. Choose Chart of accounts.
3. Navigate to the account you used for the payment and click View register.
4. Locate the VAT payment and delete it.

Additionally, you can refer to this article for more information on what to do if QBO doesn't match your bank statement at the end of a reconciliation: Fix issues at the end of a reconciliation in QuickBooks Online.

Please let me know if you have any further questions about your reconciliation. I'm here to help you in any way I can.

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.

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.