Hi
We are new to Easify and struggling with the VAT setting for european imports.
We are VAT registered.
We buy good from Europe and pay no VAT (at the time of import), but when we sell those goods, we pay VAT.
On Easify, the VAT code with add VAT to the trade price, or doesn't add VAT to the retail price.
Any idea how to progress............
Thanks
Steve
Hi Steve
What we'd suggest is setting the VAT code on your products to the standard VAT rate you sell at (usually 20%) - but when you purchase these goods change the VAT code on the purchase itself to the EU code.
This will allow the purchase will record that you bought the goods using a EU VAT code, however when you sell them it will use the standard VAT code.
I'm really stuck here. We are new to Easify and I am entering in our Products. I don't want to go too much further if I am coding them in incorrectly.
So we are a retailer, and a lot of our suppliers are in the EU. In their invoices to us I note that they have no entry for VAT (the invoices are without VAT). So in that respect they are different to our UK suppliers where the VAT is explicitly added on the invoice.
I think, for the EU suppliers, they are operating under the Reverse Charge VAT rules. They are supposed to say on their invoices that the charge is X plus reverse charge VAT.
In Easify, for the UK suppliers' products, I set the product VAT code as 'S'. But for the EU suppliers I thought I should set it at 'RCG(0%)'. Setting to RCG(0%) sets the purchase order value as Ex VAT and therefore it tallies with the amount on the suppliers invoice. But does Easify 'remember' the amount of RC VAT that I need to declare on the quarterly VAT return?
Also using RCG(0%) makes the price margin on the product pricing in Easify wrong (I think). It works out a margin as if the product is VAT free. I would have thought that Easify would allow us to set RCG(20%) to correct this, but I cannot edit the RCC percentage.
Mike
Sorry Alison. I didn't read your post properly. I'll try out your suggestion too.
Mike
