Hi all
Can anyone help me with claiming VAT on cash scheme on hire purchase of motor vehicle?
Many Thanks in advance
Hi all
Can anyone help me with claiming VAT on cash scheme on hire purchase of motor vehicle?
Many Thanks in advance
Hi Gursharn,
Thanks for using Sage City.
I wondered if this referred to Sage For Accountants or if it's a Sage Accounting query, if you can let me know in a reply I can move your post to the other forum if required.
Regards
Andy
Sage UK
Hi Andy
it is Sage For Accountants query.
Regards
Hi Gursharn, thanks for using Sage City.
According to HMRC's Manual for VAT Cash accounting, Hire purchase transactions should be excluded from the Cash Scheme, therefore you can follow the same steps as if you were on standard VAT.
This help article talks you through how we would recommend you record this by a journal.
If this has answered your question please click More > Verify Answer.
Hi Claire, thanks for your reply.
That's what I am trying to do on sage. I set up a fixed asset using journal as per sage help. however when I run VAT return, it does not include vat on motor vehicle. Do you now how to include this on vat return.
Many thanks in advance.
Hi Gursharn,
To include a line from a journal on the vat return, you'll need to tick the box that says "Include on Vat Return" and depending whether it's a debit or credit, will impact the relevant box on the VAT Return.
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