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lobweb
Level 1
posted
‎June 13, 2022 04:04 AM
last updated ‎June 13, 2022 4:04 AM

Irish VAT rounding problem

When preparing an Irish VAT return, QBO gives an amount to pay such as €1,000.49 , but when paying this amount to the Irish Revenue Online Service, they round this number down to €1,000. They force this rounding, I cannot change it. 

 

Now when trying to match the bank transaction amount €1,000 to the QBO VAT amount of €1,000.49, QuickBooks thinks I have underpaid 49 cents and I can never finalise the VAT return and the account totals do not match. 

 

How do I get around this?

 

Thanks

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3 Comments 3
GlinetteC
Moderator
Moderator
‎June 13, 2022 07:53 AM

Irish VAT rounding problem

QuickBooks usually rounds off into two decimal places, lobweb.

 

QuickBooks Online automatically calculates VAT when you make a sale. And QBO calculates the total tax rate based on the following:

 

  • Your customer's tax-exempt status
  • Where you sell and where you ship
  • What you sell

 

Moreover, you can create a VAT adjustment in QBO. You'll have to set up an account for VAT adjustment. Ensure to use the correct account type when adjusting. You'll have to set up an expense account if you want to increase your VAT, or an income account to decrease it. Note that if you already have these accounts, you can proceed to create an adjustment. 

 

To add an adjustment:

 

  1. Go to VAT.
  2. Locate the tax period you need to adjust, then select Prepare return.
  3. Select Adjust against the entry to be adjusted.
  4. Select the Adjustment date and the Tax rate.
  5. Select the Adjustment account for adjusting VAT.
  6. Enter the Adjustment amount.
  7. Enter notes in Memo, then select Save.

 

You can learn more details about the adjusting process in this article: Create or delete a VAT adjustment.

 

Know that the Community is here if you'll encounter difficulties navigating your account.

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lobweb
Level 1
‎June 13, 2022 12:14 PM

Irish VAT rounding problem

Thanks, that makes sense.

 

I have already filed the past five VAT returns in QBO with the slightly incorrect amount. I cannot adjust these anymore and I don't think I can delete them and start again. Would I be right in saying I have to get QB tech support to delete these filed returns?

 

Thanks

Reply
Jovychris_A
Moderator
Moderator
‎June 13, 2022 01:29 PM

Irish VAT rounding problem

Hi @lobweb.

 

You're correct. If you have already marked the successfully submitted VAT return as filed in QuickBooks, you'll have to contact our Care Support team so that they can pull up your account and able to make adjustments or delete them.

 

Here's how:

  1. Go to the Help menu to open the Search window.
  2. From there, you can scroll down to click the Contact us link.
  3. Type the issue/topic in the field box and then hit the Continue button.
  4. Under the Choose a way to connect with us section, select how you want to reach out to our support team: Start messaging or Get a callback.

 

Additionally, you can take a look at these articles as your references in the future which contains information about VAT return and FAQs:

 

 

Please know that I'm always here to lend you a helping hand if you need anything else. Stay healthy and keep safe always, lobweb.

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