FrontAccounting forum — VAT Calculation in Purchase Documents

Re: VAT Calculation in Purchase Documents

2011-12-21T13:45:57Z

You mentioned it yourself, that you had a rounding error of 0.01. Regulate the last item line so you get the same total as your supplier invoice.

/Joe

Re: VAT Calculation in Purchase Documents

2011-12-21T13:29:59Z

What do you mean by "Eventually rounding errors you could put on the last line."?

Re: VAT Calculation in Purchase Documents

2011-12-21T13:16:05Z

You will have to distribute the tax on the various items from the supplier, so the all the item lines are included the tax. Eventually rounding errors you could put on the last line. In doubt, please consult a local accountant.

/Joe

Re: VAT Calculation in Purchase Documents

2011-12-21T11:36:53Z

This is a non-tax business. I did try entering the items including tax but the total is a few cents off. Here is one of the supplier invoices:
21.73
39.50
105.63
25.23
25.23
50.46
25.23
25.23
67.50
70.00
455.74 Sub Total
63.80 VAT (14%)
519.54 Total

Here are the prices entered into FA including VAT (14%):
24.77
45.03
120.42
28.76
28.76
57.52
28.76
28.76
76.95
79.80
519.53 Total

The total if off by 1 cent. I thought it would be better to add the prices in FA without VAT in order to get the same total as the supplier invoice, but I realized that it does not add VAT to the total. How do I get the invoices I enter into FA to match the supplier invoices?

Re: VAT Calculation in Purchase Documents

2011-12-19T22:45:03Z

I don't understand your question. Is this a non tax busines? In that case you should enter your purchase orders, receivals and supplier invoice with the lines included tax. and you should set the tax on the supplier as a non tax group.
When selling you should also set the customers/branches as a non tax group.

If this is not a non tax business, please try to be more detailed in your question. You could also consult an accountant for information on how to enter these kind of transactions.

/Joe

VAT Calculation in Purchase Documents

2011-12-19T17:25:48Z

I have suppliers that charge VAT but I sell without VAT.

When I added suppliers, I left the option "Prices contain tax included" unticked. However, when I enter an order, delivery or invoice, I enter the supplier prices without VAT, but the total is still without VAT.

What do I do in order for FA to calculate VAT and add it to the total price?