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L
Lee Clackett
September 19, 2019
Question

VAT and FRS calculation error?FRS % = 9.5%Invoice for £1,000 plus VAT of £200 = £1,200.FRS VAT should be £1,200 X 9.5% = £114 but quickbooks calculation is £104.11

  • September 19, 2019
  • 1 reply
  • 4 views
The VAT sales figure on the VAT return should also be £1,200 but isn't.  

Has this been flagged as a problem?  What is the solution for now please?

1 reply

P
payment after leaving
Level 10
September 19, 2019

Hi Lee

 

Have you selected FRS within the VAT settings and entered 9.5% as the FRS rate?

When you view the invoice is it showing a £1000 amount with exclusive of VAT have you selected the 20%S VAT code therefore the total of the invoice should be £1200 with £200 showing in the VAT box?

 

 

L
Lee ClackettAuthor
September 23, 2019

Sorry, I didn't get notification of your response.

FRS has been selected and the rate of 9.5% has been entered.

The VAT code selected is VATFRS 9.5%

Invoices aren't entered to the system.  The VAT is coming straight from the bank receipts not that this seems to be relevant.

An example invoices shows £1,200 (inclusive of tax option selected) but the VAT is automatically calculated at £104.11 which is wrong.

 

P
payment after leaving
Level 10
September 23, 2019


Hi Lee

 

Are you adding the transactions from the for review page within the banking section?

It appears that you may have created a VAT code for 9.5% you have to enter/select the 20%S VAT code against your invoices as the system will do the relevant calculation and therefore will show the correct value in Box1 within the taxes section.

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