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info-1984brand-c
Level 1

Can you default the vat on invoices to be inclusive?

we recently registered for vat. we want our vat to be inclusive, can you default it to vat inclusive
3 Comments 3
LollyNino_C
QuickBooks Team

Can you default the vat on invoices to be inclusive?

Hello there. 

 

Thank you for posting here in the Community. You've got me here to share some details on how you can utilize the VAT feature in QuickBooks Online. 

 

Yes, you can change the default tax rate selection in QuickBooks Online. 

 

Here's how: 

 

  1. Click the Gear icon in the upper right corner and select Account and Settings.
  2. Select the Advanced tab and go to the Accounting section.
  3. Choose Inclusive of Tax in the Default tax rate selection field.
  4. Once done, tick Save and Done

 

You can also check this article: The Value-Added Tax (VAT) Registered

 

Additionally, feel free to check out this reference with the resources needed so you can keep up with the latest updates mandated by your tax agency in QBO: Taxes in QuickBooks Online

 

Please let me know by commenting below if you have any other tax questions. I'd be more than happy to answer any questions you may have. Stay safe!

xrops
Level 1

Can you default the vat on invoices to be inclusive?

I don't see the Default tax rate selection in the Accounting section.  Is this only for certain tiers of QBO?

CharleneMaeF
QuickBooks Team

Can you default the vat on invoices to be inclusive?

The VAT feature is available in all regions, xrops.

 

It seemed that the tax tracking was turned off. It could be why the Default tax rate selection option is unavailable on the Account and Settings page. To resolve this, I recommend enabling the feature. I'll show you how:

 

  1. Go to VAT, and select Set up VAT.
  2. Set up the tax agency details such as the name of your tax agency, any official tax number that has been assigned to your company, your reporting method, how often you file your tax to your tax agency, and whether this tax is meant for sales or purchases, then select Next.
  3. Follow the steps to finish the setup and select Ok.

 

Once done, we can now update the Default tax rate selection field. Here's how:

 

  1. Go to the Gear icon and then select Account and Settings.
  2. Select the Advanced tab.
  3. Under the Accounting section, select Inclusive of Tax in the Default tax rate selection field.
  4. Click Save and Done.

 

Additionally, I've added these articles that'll help you learn more about applying and filing VAT in QuickBooks Online:

 

 

Please keep us posted if you need additional assistance in managing your VAT. We're always here to help you out.