VAT EXCEPTION REPORT

Hi MCooney, thanks for reaching out to the QuickBooks Community today

You can create adjustments on the current VAT return to remove the balance of genuine exceptions. We recommend working alongside your accountant or accounting professional to do this to make sure that your reports are correct. 

They can view these adjustments in the chart of accounts by searching for the accounts you've made adjustments to. To remove an exception:

1. Go to Taxes and select VAT.
2. Find the return you need to change and select Adjust to increase or decrease the amount as necessary.

For further information, see our guide on VAT exceptions and reports in QuickBooks Online. Thanks again for reaching the Intuit QuickBooks Community for support. if you have any further queries, please do get back in touch!

They are not genuine adjustments; it's a bug in QBO.  I have reported to Support and the back end team are looking at it.

I too am having difficulties with an exception account, I have had to adjust a few invoices for a previously filed VAT return, the totals and Vat amounts have not changed but rather than cancel out it has added the vat onto current period incorrectly as that has already been paid. How can I sort this problem?

Let's make sure this is sorted out so it shows the VAT Exception report correctly, Alison.

There's an ongoing issue about exceptions not displaying that a payment has been removed. Our engineers are aware and are working to get this fixed as soon as possible. As a workaround, you can manually adjust the VAT returns to remove the VAT.

In the meantime, I recommend contacting our support team so they can take a look and investigate further. They have the tools to pull up your account in a secure environment. To do so, follow the steps outlined below:

1. Sign in to your QuickBooks Online company.
2. Go to Help (?).
3. Select either tab to get started.
   Assistant: Get quick, personalized answers. Select a suggested option, or type a question or topic you need help with. If you decide you need further help, you can still Talk to a human.
    Search: Search the QuickBooks Online knowledge base directly, or click Contact Us
4. Enter your issue or concern.
5. Select Callback to talk to a representative.

Furthermore, you're likely familiar with the current implementation of MTD. To learn more on how to electronically submit your VAT return to HMRC, check out this article for reference: Submit A VAT Return to HMRC Using MTD in QuickBooks Online.

Let us know if you have any questions about VAT Exception. We'll always be right here to help you anytime. Have a nice day!