How do I deal with purchases from EU countries and V.A.T. reporting?
From Catalyst
Revision as of 20:45, 11 February 2021 by Katy Kitchen (talk | contribs)
Summary
This article will explain how to deal with purchases from EU Countries.
 | From January 1st 2021 the way purchases from EC suppliers are treated on the VAT return is changing. Please ensure your Platinum system is on the latest version. See Preparing for Brexit with Platinum for more information. |
More Information
If you are buying goods from EU Countries then your suppliers need to be set up in a specific way.
Go to " Purchase Ledger Supplier File Maintenance Add or Edit Suppliers"
- Search for the supplier and click [Edit].
- Select the [Invoicing] tab.
- Select their Country from the drop down menu.
- The "EC Member?" flag to the right will default based on the country chosen.
- Enter their "V.A.T. Reg" number if they have supplied it.
- Remove the code from the "Currency" field unless you intend to use the currency conversion program, within Platinum. All transactions should be posted in your base currency e.g. GBP.
- Check the "Default V.A.T. Rate" is correct. This will be defaulted based on the country you choose to enter.
 | From January 1st 2021 you may need to amend the default VAT Rate set against your EC suppliers. Previously the VAT Rate would only change to Zero rated if you had the supplier's VAT Registration number. |
 | Changes to the way the VAT return deals with EC purchases are due to be implemented in Platinum during April 2021. Please see this article for more information |
See also
- How do I add a new country?
- How to deal with sales to EU countries and V.A.T. reporting
- How do I set up currency translation?
- Dealing with currency accounting in Platinum?
- How do I reconcile foreign currency accounts?
- Posting purchase invoices
- Preparing for Brexit with Platinum
