When charge VAT on Asset

I’m glad to see you in the Community, info-archangelsp.

Let me guide you in the right direction on how to categorize your equipment.

QuickBooks Online (QBO) is like a diary that keeps track of your actual transactions. This includes the equipment you purchased and can be considered as an asset. Select this account type for items you own and use to run your business.

I’m adding an article that provides detailed information about accounts in the chart accounts: Learn common accounting terms. From there, you’ll learn the different types of assets and accounting methods.

In regard to charging VAT to an asset, I recommend consulting with an accountant. They can provide detailed information on when to add a tax to an item. Then make sure your books are in ship shape.

For future reference, the following resources will guide you on how to classify bank data and manage taxes.

• Categorise and match online bank transactions in QuickBooks Online
• Taxes

Drop a comment below if you have additional questions about banking and taxes. I’m always ready to answer them for you. Wishing you and your business continued success.