To Change the VAT Codes

1. Open the Settings menu and choose Tax Codes.

The Tax Codes window appears.

2. Select each code you want to change and then click Edit.

The Edit Tax Code window appears.

3. Edit the tax codes T0 to T8 and deselect the Include in VAT Return check box.

Edit the tax codes T10 to T18 and select the Include in VAT Return check box.

Make sure that you enter the appropriate VAT rates against the new tax codes, i.e. T11 at 17.5%, T14 as EC Sales, T17 and T18 as EC Purchases.

4. Change the default tax code on all customers to the new tax code.

5. Change the default tax code on all suppliers to the new tax code.

6. Change the default tax code on all product items to the new tax code.

7. All incomplete sales orders and purchase orders will need the tax code amending on the Product Item Line window.

8. Within Invoicing change the VAT codes on all invoices which have not been updated to the Customers Ledger.

Your system is now ready to operate under the VAT Cash Accounting scheme.

Your next step...