VAT Submission Error - Due to department specific business logic in the body tag
I am getting this message when I try to file my VAT Return online. I also the folowing submission failure e-mail from HMRC:
Unsuccessful submission of VAT Submission online for Reference xxxxxxxxx
Thank you for sending in the online VAT submission to the 'TEST IN LIVE' service.
The submission for reference xxxxxxxx was received on 27/05/19. Unfortunately it could not be accepted as it failed HMRC data checks.
To correct this please use the help provided within the software you used to complete your form and send it again.
I am using QuickBooks Premier Accountant Edition 2019 at Release R7_15 and have registered for MTD with HMRC and the last VAT return was filed online OK.
I suspect the problem arises from the use of the cash accounting method where there are EU supplied services recorded (in this case an electronically supplied service). QuickBooks does give a warning message that EU supplies should be recorded using the accruals method but does permit you to proceed to file using the cash accounting method. If the accruals method had been used the figures in Box 2 and the addition to Box 4 would have been the same as under the cash basis.
I had a VAT inspection visit a number of years ago where this matter came up and the HMRC inspectors confirmed that my treatment was OK.