Creating / Editing a Transaction
Use this page to create / edit a transaction. The page has an advanced section which is normaly closed. You will normaly only use the advanced section if you make "intra-EC zero rated supplies". Most companies don't do that.
Let's explain what all this is...
Customer / Supplier
The name of your customer / supplier. It doesn't strictly have to be a name, just whatever makes sense to you. For example if you are a shop you won't know each customers name, and you might not want to record each sale. In that case you could have one 'sale' per day and call the customer 'Takings' or 'Daily' or 'Sales'.
As you type, you'll see suggestions of previous customers / suppliers you've entered. If you use one of these, the page will try to pre-fill some information to save you time. To force the page to pre-fill this info, use the button at the end of the field.
The date of the transaction. It's up to you whether you use an invoice date or a payment date, but it's best to consistently use one or the other.
The VAT rate of the transaction as a percentage. so for 20% enter "20".
Gross and Netta and the calculator
The Gross is the value of the transaction includeing VAT. The Nett is the value excluding VAT. Once you have entered a VAT Rate, the page will do various calculations for you. For example if you enter the Gross value, the page will calculate the Nett and VAT amounts for you. If you enter a Nett value, if will calculate the Gross and VAT amounts. You can clear the values (and reset the calculator) with the buttons at the end of the fields.
Sale / Purchase type
The Type is important for categorising your transactions. This is one or two words to describe the type of transaction e.g. "Phones" or "Rent".
You can then use these types in the sales / purchase lists to find transactions. For example you can search your purchases for "Phones" and it will list all of your spending on phones!
You should use the same Types with similar transactions. To help with this, as you type, the field will suggest Types you have used before.
This is intended as a very short note about the transaction. It is somewhere you can put any additional important info you need.
Non VAT items
This check box indicates that this is not a VAT item. Non VAT items do not form part of your VAT return.
Non-VAT purchases / inputs can include wages and salaries, PAYE and National Insurance contributions, money taken out of the business by you, loans, dividends, and gifts of money.
Non-VAT sales / outputs can include money you’ve personally put into the business, loans, dividends, gifts of money, insurance claims and some Stock Exchange dealings.
Non-VAT items will vary depending on your country. If you are not sure if an item should be used when calculating your VAT return, please contact your local VAT office.
Tick this box if this is a zero rated intra-EC supply, otherwise leave it blank. If this is a zero rated sale, you will also need to enter the customers VAT number.
VAT Number (Advanced)
You can normally leave this blank. However if this is an zero rated intra-EC sale, you must enter the customers VAT number here. If you do not, it will not appear on your EC Sales List report, and you may become liable for the VAT not paid by your customer.
VAT Date (Advanced)
The VAT date is usually the same as the item date. You can use the VAT date to move a transaction into a different VAT period.
For example, say you submit your VAT return in April for the previous period (up to the end of March), but later you find a sale/purchase in March that you didn't know about. The VAT Return is done and can't be changed!
In this case you can enter the transaction as normal, but give it a VAT Date of April 1st. The transaction will have all the correct details (including Date), but will become part of your next VAT return that includes April.