FRS & Bokio question

[trying_to_survive]

Hi

I was wondering if you can help me please.

I spoke to HMRC last week and they changed my VAT type to Fixed Rate Scheme and the return is 14.5%.

I have also signed up to a free Cloud package called Bokio. From Bokio I have also connected to HMRC and it has questions relating to returns between 01/09 to 30/11 and greyed out, which I understand as the VAT return period is not finished yet.

I am confused about if I should do anything with HMRC website for Making Tax Digital? I went to the following site https://www.gov.uk/guidance/sign-up-your-client-for-making-tax-digital-for-vat and presed "Sign up now" but it says I need an agent service account. I am not sure what this is? Do I even need to do this?

Lastly the questions that are being asked by HMRC is the same as standard VAT scheme even though I am now on FRS through Bokio. Is this normal? Do I just answer these questions as normal and pay only 14.5% to HMRC?

Example being:

1 VAT due in this period on sales and other outputs £0.00
2 VAT due in this period on intra-community acquisitions of goods made in Northern Ireland from EU Member States

I prefer to do the VAT return on my own and my accountant handles corporation tax side of things. If you could help me please?

Thank you.

 

[trying_to_survive]

Sorry I was using the wrong link:

Its this one I should have used:

https://www.tax.service.gov.uk/vat-through-software/sign-up

 

[Scalloway]

As far as I am aware MTD registration is for businesses with an annual turnover over £85,000

You must pay HMRC VAT of 14.5% on your gross sales, including those that are zero rated. I would recommend asking your accountant about goods made in Northern Ireland from EU Member States. I couldn't find anything on a quick Google.

 

[trying_to_survive]

Thanks - What I was told is MTD registration is mandatory if you are VAT registered.

Just a clarification on this if you can please in relation to FRS:

The questions on Bokio is similar to a standard VAT type i.e, bottom of this post:

As I am now on FRS - For question 1 & 3 - do I enter 14,5% only - I don't have anything do with Norther Ireland - so for example, if my sales is £1000 and I charge my client £1000 + 20% = £1200 - do I enter £145 that is payable to HMRC which is 14.5%?

Number 4 will always be 0 (I can't reclaim unless my purchase is £2000 which I won't have) so for number 5 will always match 3? In this example £145?

For number 6, in my example is £1000 correct?

7,8 and 9 will always be 0 for me I think.






1 VAT due in this period on sales and other outputs £0.00
2 VAT due in this period on intra-community acquisitions of goods made in Northern Ireland from EU Member States £0.00
3 Total VAT due (the sum of boxes 1 and 2) £0.00
4 VAT reclaimed in this period on purchases and other inputs (including acquisitions from the EC) £0.00
5 Net VAT to be paid to HMRC or reclaimed by you (Difference between boxes 3 and 4) £0.00

6 Total value of sales and all other outputs excluding any VAT. Include your box 8 figure £0
7 Total value of purchases and all other inputs excluding any VAT. Include your box 9 figure £0
8 Total value of intra-community dispatches of goods and related costs (excluding VAT) from Northern Ireland to EU Member States £0
9 Total value of intra-community acquisitions of goods and related costs (excluding VAT) made in Northern Ireland from EU Member States

 

[DWS]

I do not use Bokio so can not comment on that but using your example
If you had sales of £1000.00 + VAT @ 20% = £1,200.00 you use this figure and your FRS of 14.5% which gives you £174.00 and will go in both boxes 1 & 3

The total FRS turnover of £1,200.00 goes in box 6

Dont forget you will also have to pay tax on any profit you make from the scheme.

 

[dan@bokio]

Thanks - What I was told is MTD registration is mandatory if you are VAT registered.

Just a clarification on this if you can please in relation to FRS:

The questions on Bokio is similar to a standard VAT type i.e, bottom of this post:

As I am now on FRS - For question 1 & 3 - do I enter 14,5% only - I don't have anything do with Norther Ireland - so for example, if my sales is £1000 and I charge my client £1000 + 20% = £1200 - do I enter £145 that is payable to HMRC which is 14.5%?

Number 4 will always be 0 (I can't reclaim unless my purchase is £2000 which I won't have) so for number 5 will always match 3? In this example £145?

For number 6, in my example is £1000 correct?

7,8 and 9 will always be 0 for me I think.






1 VAT due in this period on sales and other outputs £0.00
2 VAT due in this period on intra-community acquisitions of goods made in Northern Ireland from EU Member States £0.00
3 Total VAT due (the sum of boxes 1 and 2) £0.00
4 VAT reclaimed in this period on purchases and other inputs (including acquisitions from the EC) £0.00
5 Net VAT to be paid to HMRC or reclaimed by you (Difference between boxes 3 and 4) £0.00

6 Total value of sales and all other outputs excluding any VAT. Include your box 8 figure £0
7 Total value of purchases and all other inputs excluding any VAT. Include your box 9 figure £0
8 Total value of intra-community dispatches of goods and related costs (excluding VAT) from Northern Ireland to EU Member States £0
9 Total value of intra-community acquisitions of goods and related costs (excluding VAT) made in Northern Ireland from EU Member States

Hi You can read more about completing a Flat rate return in Bokio here