VAT RC! I am struggling with with CIS materials & the new vat rev chrg. Everything I try results in an error message. How can I use the new VAT code against CIS Mats?

bookkeeping-lmc · ‎March 01, 2021

JonpriL · ‎March 01, 2021

Let me help share how you can use the codes of the new VAT Reverse Charge for CIS invoices in QuickBooks Online.

Normally, you'll have to completely describe the reason why your contractor is accountable for VAT on their invoice. Learn more about the new codes and a few examples you can use with this article: What do I need to add to my invoices?

Additionally, I've also included this reference for a compilation of the most commonly asked questions while working with this new scheme: VAT Reverse Charge For Building and Construction Services (CIS).

If you have any other questions, please let me know in the comments below. I'll be here to lend a hand.

View solution in original post

JonpriL · ‎March 01, 2021

Hello @bookkeeping-lmc,

Let me help share how you can use the codes of the new VAT Reverse Charge for CIS invoices in QuickBooks Online.

Normally, you'll have to completely describe the reason why your contractor is accountable for VAT on their invoice. Learn more about the new codes and a few examples you can use with this article: What do I need to add to my invoices?

Additionally, I've also included this reference for a compilation of the most commonly asked questions while working with this new scheme: VAT Reverse Charge For Building and Construction Services (CIS).

If you have any other questions, please let me know in the comments below. I'll be here to lend a hand.

bookkeeping-lmc · ‎March 02, 2021

Thank you JonpriL, I am glad to learn it is a software issue and not an error of mine. I have taken the suggestion of using Gross CIS as the product code for CIS materials until QB have fixed this situation, but this poses new issues. If you are raising an inv with CIS labour and materials lines, once you select gross for the materials it takes out the CIS deduction for labour. So still not a great solution for my client. I have told him that, until QB resolves the situation, he will need to raise separate invoices for cis labour and materials. Thank you for your quick response to my query yesterday, I will keep an eye out for updates from QB to say they have fixed the issue.

Topics

Training

Community

Resources

VAT RC! I am struggling with with CIS materials & the new vat rev chrg. Everything I try results in an error message. How can I use the new VAT code against CIS Mats?