- Original Poster
- #1
Just trying to figure out how I account for VAT in my profit and loss sheet if I am in the flat rate scheme.
I presume the VAT reclaimed would go under other income in my turnover?
Would I then add a column for VAT expenses in my business expenses column?
With expenses claimed back from the client and normally daily rate billing - I presume I can use figures inclusive of VAT, as the VAT will be taken out as a percentage of my turnover and not on individual transactions?
The VAT inclusive figure would be used for any money from the client (ie refunded expenses or daily rate) and also any expenses (eg refunding expenses to employee's)?
Finally, would the figure I use for turnover when calculating the flat rate scheme be - exclusive of VAT, include expenses refunded from the client (including or excluding VAT)?
I presume the VAT reclaimed would go under other income in my turnover?
Would I then add a column for VAT expenses in my business expenses column?
With expenses claimed back from the client and normally daily rate billing - I presume I can use figures inclusive of VAT, as the VAT will be taken out as a percentage of my turnover and not on individual transactions?
The VAT inclusive figure would be used for any money from the client (ie refunded expenses or daily rate) and also any expenses (eg refunding expenses to employee's)?
Finally, would the figure I use for turnover when calculating the flat rate scheme be - exclusive of VAT, include expenses refunded from the client (including or excluding VAT)?
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