Sage: VAT Reclaim Pre-Regsitration

[vivente]

I understand that I can reclaim the VAT on any products which I still held at registration from UK suppliers who provided me with a VAT invoice in the last 4 years and that I can also claim same for services for up to 6 months prior to registration.

My problem is really don't know how I would actually do this in Sage Instant Accounts Plus.

All the relevant entries are posted. Do I go back and do corrections on them with a T1 code or do I total the reclaim myself and somehow journal it to the VAT account however that is frought with danger as it may not end up in the correct boxes on the VAT return :|

Any ideas how to handle this in Sage?

 

[UK Contractor Accountant]

you can get SAGE to do the VAT return magically by running a dummy bank payment and receipt: lets say you find £175 of pre reg vat to claim back.

Bank payment: Tax code T1, £1000 net to nominal 4900 (misc income) and VAT £175. Bank Receipt (tax code T9, to nominal 4900) £1175. Date them the first day of VAT registration.
The net result of this will be to put the right figs on the VAT return, and show a credit of 4900 to misc income - you've claimed VAT back ,so can't have it as an expense, thus it increases your profit.

Or you can go back into SAGE and edit all the transactions you want including, and tell the VAT return to include previous transactions.

 

[vivente]

Thanks. I like the simpler approach. I've done enough the of the complicated approach