How do I record my CJRS grant so that I don't show as income and therefore VAT?

The UK Coronavirus Job Retention Scheme (CJRS) grant is a taxable income as outlined by HMRC.

It should be posted using Bank Deposit to an Other Income category of account named appropriately (e.g. Grants Received / Government Grant / Business Grant). Select the dropdown option for Amount: No VAT (instead of Inclusive or Exclusive) to disable the VAT fields, or if Inclusive/Exclusive is left unchanged, then choose O code for Outside the scope of VAT.