We are a holiday letting business using QB Desktop Version and are on the Flat Rate Scheme. There appears to be a problem reporting VAT where temporary VAT rate is 5% and Flat rate is 0%. Credit notes appear to be ignored.
I spoke to support and they told me to:
I spent nearly 2 hours with Support yesterday and it is apparent that they do not understand the new VAT Regime. I had previously been asked to send a link to the new legislation which I provided.
We are registered for MTD so cannot do a manual online return calculated using a spreadsheet.
Hello Gly PE,
Welcome to the Community page,
It sounds like when you have created the new VAT Code, you haven't assigned the VAT items to the VAT code.
These VAT items will show where the VAT is hitting the VAT return.
So it sounds like you just haven't put in where they want the VAT to essentially to go.
If you can please check this
list>VAT code list>edit C19 code>check taxable information for VAT item purchase/sales
First of all I want to say how totally disappointed I am with QB Desktop Support in Indonesia. I have wasted hours on the phone trying to get advice on this VAT Issue and have been promised I would be called back by the VAT specialist team leader on 2 occasions. I have waited in the office for 2 days for these callbacks. This is totally unacceptable support considering the now very high monthly cost.
I have found a solution to reporting VAT under the temporary 5% Holiday Let concession. If anyone would like to know the process please reply to this post and I will write it up.
please could you tell me how to apply the new 5% relief in QB.
I have some invoices already gone out at 20% for the qualifying period do i now just manually change them to 5% or is there an easier way
Hello there, Hillyridge.
Yes, the only way to change the VAT rate on the invoice is to edit the invoice itself.
However, if you have already submitted your VAT return, I'd recommend reaching out to your accountant. They know whats the best action we should take in this scenario. You might need to do some adjustments: Adjust your VAT liability.
Let us know how this goes so we can further assist you. Have a great day!