Reconcile Vat Return in Sage 50

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Sage 50 Vat Return Reconciliation

Several organizations using Sage accounting software are VAT registered. It implies that they have to prepare the VAT return and its reconciliation monthly or quarterly. It is essential to verify the relevant details of VAT components before an HRMC submission. ReConcileBooks guide will become a helping hand to process the Reconcile Vat Return in Sage 50 and cash Accounting. Also discover easy steps for Sage 50 Bank Account Reconciliation which gives you some better idea.

Steps For Reconcile Vat Return in Sage 50

Process of VAT returns figures:

The Sage Accounts VAT return computes the input and output taxes with the VAT cash accounting scheme. These taxes are calculated through the VAT elements displaying on the sales receipts, sales payments, and purchase payments and sales payments on account. Whenever you start posting any purchase payment, the sage accounts use the actual invoice to verify the exact code to use. The VAT returns with cash accounting scheme display all invoices appearing with EC flagged tax codes.

Elements included in VAT Returns:

The VAT elements of Bank, visa receipts, visa payments, and cash
Journal entries with values posted with suitable tax code
Discounts with values

Tax Code VAT Returns In Sage 50

What do you mean by tax code in Sage 50 while calculating VAT returns?

The tax code is used by Sage accounts to compute the VAT. It determines which rate to apply. Therefore, while posting any transaction in the Sage account, the entering of an appropriate tax code is mandatory.

ReConcileBooks gives step by step process To Solve Sage 50 Unresolved Amount Reconciliation problem which is very easy to do .

List of some default tax codes:

T2: It denotes Exempt transaction
T1: It determines standard rated transaction
T4: It specifies EC’ sale of goods to a customer
T0: It represents zero-rated transactions
T7: It denotes zero-rated purchases from suppliers

Above are the examples of default tax code that need to apply on a transaction. Here are the steps to view the tax codes:

Locate settings
Click on Configuration
Hit on Yes to close all other active windows
Select Tax codes

How To Prepare A Vat Return In Sage Accounts?

The VAT return calculation does not impact on any transactions. The posting is independent of nominal codes. Thus, you can efficiently compute the VAT returns multiple times as required. Here is the list of steps:

Open Sage software
Locate VAT
Click on VAT Return
You are recommended to create a backup of data
Write the suitable date range associated with the VAT return
Click on Include reconciled transactions. In case you need to add already reconciled transaction being specified in this duration
To modify the checks while calculating the VAT returns, you have to Select Settings
Hit on Calculate VAT return
There will appear a window is notifying if any transaction which has not been reconciled within the date range. To add these transaction click Include option else ignore

How To Reconcile Vat Return In Sage 50

Verify the Verification checks
Perform adjustments; VAT adjustment gets automatically posted through the program date. In case you need to modify the posting date, there require changing the date mentioned in the software. To perform this, follow the instruction:
Discover settings option
Click on Change program date
Adjust any of the figure written on the VAT return if needed then Click on Make adjustments
Hit on the appropriate Adjustment field then write the description of the modification you did along with the value
Don’t forget to save through clicking on Save button
Hit on Close option
Confirm the values on the VAT returns through reports

To use reports to monitor, the breakdown of values follow the steps:

Once you computed the VAT return, you have to select the relevant figure
Locate window named VAT breakdown and perform a double on any value you view in the transactions list contained in the sum
Utilize the reports to confirm the values in each of the field associated with the VAT return
Hit on the suitable field to view the preferred reports you require to execute to uphold the correct values
To view all reports here are the steps:
- Locate Reconciliation reports
- Click on VAT cash scheme
- Print the VAT reports. To print it follow the instructions:
  - Click on Print VAT Return
  - Choose the VAT return Type from the appearing lists like summary, VAT return, Adjustments or detailed and print it
  - Choose the needed output and then choose the Run option
  - Once completed the print, save the file as required
- Flag the preferred transaction as reconciled
- If the values are verified on the VAT return, then click on Reconcile VAT return
- Hit on yes
- Finish the VAT return, to accommodate it, follow the steps:
- Locate VAT transfer option
- Fill the essential fields of VAT Transfer, Including Date, Sales tax amount, and purchase tax amount.
- Click on Post journal
- Submit VAT Return to HMRC

Help Unable To Reconcile VAT Sage 50 Accounting

That’s all about Reconcile Vat Return in Sage 50. Well, the above information will make it simple for you to prepare VAT returns. In case of any queries, do give a call to the ReConcileBooks Toll Free +1347-967-4079 ; The professional team of Sage 50 Support is there to solve your questions and support you in every way possible. If you fail to reach through the phone don’t hesitate to chat with the experts. Do a Live Chat Sage 50 and take instant assistance. You can even send an email; the team is always ready to serve you updated solutions.