The VAT Returns feature allows you to generate and submit the VAT returns for a certain period. When the VAT value is generated, the feature also generates other useful information which will be described in this topic.
- Log in to BrightBooks. The Business page appears.
- On the Business page, locate the required business by completing either of the following steps.
- In the Search box on the top right corner, enter the name of the business fully or partially and click the search icon. The business summary will appear under the Select a Business heading.
- The business summary is available under the Select a Business heading. If you cannot find it, at the bottom-right corner of the page, click 100 to increase the number of records to be displayed on the page. The business summary will be available under the Select a Business heading.
- Under the Select a Business heading, click the name of the business.
- The Customers page appears. On the Customers page, from the left panel, click General Ledger > VAT Returns.
- The VAT Return page appears. On the VAT Return page, click [Add]. (To ensure that goods and services to or from EU countries are properly reflected in your VAT return, make sure to accurately fill in the 'Country of Incorporation' when creating supplier entries. This accuracy will help the system to correctly identify and categorize transactions with EU-based entities.)
- If you encounter issues accessing previous data while generating a recent VAT return, you may want to create dummy VAT returns. To do this, navigate to Nominal ledger > VAT Returns, then click New. Create all VAT return records leading up to the desired date without inputting actual purchases or sales figures, meaning entering 'Nil' for both if no actual data is available. Once these dummy entries are created, generate the required report by selecting the recent interval and proceed with submission or review.
- The New VAT Return window appears. On the New VAT Return window, click [OK].
- The VAT returns and other values are generated, as shown below.
- You have the following options:
- To view the data in the form of a report, click Print. The data appears on the VAT Return report.
- To save the data and view later, click Save.
- To submit the returns, select Closed and click Save.
| FIELD | STEP |
|---|---|
| VAT due this period on sales and other outputs (Box 1) | The total VAT payable until this period. The VAT is derived by adding the VAT figures of all sales invoices. |
| VAT due this period on acquisitions from other EC member states (Box 2) | The total VAT derived from purchase invoices raised on purchases from non-UK EU members. For example, if a purchase invoice is paid by a UK Business for a supplier based in Spain, the VAT amount is accounted in this column. |
| Total VAT due(the sum of boxes 1 and 2) (Box 3) | Total of values in Box 2 and 3. |
| VAT reclaimed in this period on purchases and other inputs(including acquisitions from the EU) (Box 4) | The total VAT derived from all purchase invoices VAT values. |
| Net VAT to be paid to Customers or reclaimed (difference between Box 3 and Box 4) (Box 5) | The difference between box 4 and 3. |
| Total value of sales and other outputs excluding any VAT(include Box 8 figure) (Box 6) | The total value of all sales invoices until the selected period excluding VAT. |
| Total value of purchases and other inputs excluding any VAT(include Box 9 figure) (Box 7) | The total value of all purchase invoices until the selected period excluding VAT. |
| Total value of supplies of goods Goods excluding any VAT to other EC Member States (Box 8) | The total value of all purchase invoices excluding VAT from a UK Business to other non-UK, EU members. |
| Total value of acquisitions of goods Goods excluding any VAT to other EC Member States (Box 9) | The total value of all goods acquired through purchase invoices from non-UK, EU members and sold through sales invoices to other non-UK, EU members. |
| Total value of supplies of related services Services excluding any VAT to other EC Member States (Box 10) | The total value of all purchase invoices showing services excluding VAT from a UK Business to other non-UK, EU members. |
| Total value of acquisitions of related services Services excluding any VAT to other EC Member States (Box 11) | The total value of all services acquired through purchase invoices from non-UK, EU members and sold through sales invoices to other non-UK, EU members. |