If you are registered as a VAT vendor, you need to generate a Tax report to assist you to fill in your VAT return. There are 2 types of Tax Reports available depending on which Accounting Basis you are registered for VAT. Your VAT registration form will indicate on which basis you are registered. The Tax Report is a generated in the Reports - Tax menu option on the Tax Report options screen on which you need to select the following:

1. Type of Report - Payments Based - if you are registered on the Invoices Based - VAT Accounting basis or Received if you are registered on the Payments Based - VAT Accounting basis.
   
   
2. This Year or Last Year and the specific periods for This Year or Last Year on This Year or Last Year Periods Search or lookup facility.
   
   
3. Tax Codes - All the Tax codes or a specific Tax code. These Tax codes are the Tax Accounts as created in the Edit - Accounts - Tax Accounts menu option. If you need to fill in your VAT return, you need to select All the Tax codes.

    

4. Show Details - The details of each transaction will be listed or if this field is not selected, the details will be summarised into debit and credit totals for each tax code or a selected tax code.

To optimise this report, it is important that your Tax codes (VAT codes and their respective percentages) be created correctly according to the VAT return and to cater for the Tax types (or blocks) you need to submit on your VAT return in the Edit - Accounts - Tax Accounts menu option. The VAT accounts in the General Ledger and this Tax report will be updated when:

1. When you enter transactions in batches or journals, you need to select the correct Tax code (on the Tax Search or lookup facility) applicable to the Output VAT (Tax codes) and applicable to the Input VAT (Tax codes). TurboCASH will calculate the Tax amounts according to the specified percentages for the selected Tax codes. When these batches or journals are posted to the ledger, it will post the transactions to the selected Tax (VAT) accounts.
2. If you create and edit documents, the Tax codes for the selected stock items (selected on the Stock Item Search or lookup facility) will be displayed on the Document Entry - Details screen. TurboCASH will calculate the Tax amount according to the percentages of the Tax codes of the stock items. It is important that the correct Output and Input Tax codes was selected for each Stock Item when the Stock Items are created or edited in the Edit - Stock Item menu option. When these documents are updated to the ledger, it will post the transactions to the Output Tax and Input Tax (VAT) accounts.

A sample of the Invoiced Detail Tax report showing details is as follows:




This report will list the details of each batch or journal for each Tax code (VAT account) for each tax code or a selected tax code in the following columns:

1. Date and Accounting Period - This is the date of the transaction and the Tax period as entered in batches or journals or the document date as selected on the Input - Documents menu option.
   
   
2. Reference Number - The reference number as entered in batches or journals. This is the reference to the source document. In the case of documents (Invoices, Credit Notes, Point-of-Sales Invoices, Purchase or Goods Received Notes and Stock or Goods Returned Notes) it is the document number as generated by TurboCASH.
   
   
3. Account - This is the selected Debtor Creditor or General Ledger Account.
   
   
4. Exclusive Amount - This amount excludes any Tax or VAT.
   
   
5. Tax Amount - The amount of Output Tax payable and the amount of Input Tax, which may be claimed.

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An example of the summarised report (Show Details not selected) is as follows:



This report will only summarise the totals into debit and credit totals for the respective batches or journals.

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You may generate a detailed transaction report in the Reports - General Ledger - Transactions report for the Tax accounts, which should balance with this VAT report.

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The amounts which are displayed in <> indicates a credit or negative figure. You may change this negative amount indicator to a minus sign (-) to prefix your amounts or set it to display a D (for Debit) or a C (for Credit) in the Setup - Preferences - Data Parameters menu option.