Forum

• # 71383
• Wed 25 May 2011 08:55 PM

When inputting VAT into the ledger accounts do  I have to work out the VAT on all items eg - phone bills - creditors - debtors  cash sales - and enter it into the VAT a/c or is is just sales and purchases -
Sorry to be a pain just struggling and need some guidence
Many Thanks
Heidi x

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• # 71948
• Thu 09 Jun 2011 09:25 AM

As far as I know, all the items which are VAT related should be worked out and enter in the VAT a/c such as phone bills, petrol, stationery etc, this is to prepare the VAT return for the HMRC, however if the business is not VAT registered, then it can not charge VAT from its customers, but still needs to pay for VAT to its suppliers if required.

Hope this helps
Anna

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