Making Tax Digital VAT in UK and EEC (Page 1 of 2)

Just realized some of our overseas suppliers are going to be effected.

In fact what am I saying - of course any business hoping to do business with UK customers and are over the threshold are all going to need this feature.

"Overseas businesses that have UK taxable turnover in excess of the UK VAT registration threshold will be subject to the requirements of MTD for VAT as outlined above."   - source www.tax.org.uk

Thank you Karur

I have also started to read

https://www.gov.uk/government/publications/vat-notice-70022-making-tax-digital-for-vat/vat-notice-70022-making-tax-digital-for-vat

Sorry, pasted an earlier link instead of the VAT Customer Journeys

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/668753/Addendum_to_VAT_Notice_on_Making_Tax_Digital_for_VAT.pdf

Thanks @kvvaradha

Whether I will be able to learn the skills is another matter

I am going to start by following another post.

https://frontaccounting.com/punbb/viewtopic.php?id=7123

But in the meantime are there are any VAT users reading this who have developed a way to identify VAT transactions entered using a date from a previously reported VAT period but not included in that periods VAT return, it would be really interesting to hear if anyone has a way to spot late entries to include in the following period. (allowed up to a certain level by UK tax authorities)

Also, does anyone run a "check report" of any kind on their VAT entries. For example if the standard VAT rate is 20% the report would "flag" entries which didn't seem to match that calculation because of user input error.

These are all things the tax regime is trying to see built into the system.

simple really - at least in the mind it is !

Any excel manipulation can be coded into a PHP file and executed on demand and later made into an extension. Exporting data from FA and then doing copy/paste and excel formula gymnastics will certainly make for un-appreciated "hard work" and time drudgery.

https://github.com/PHPOffice
https://github.com/PHPOffice/PhpSpreadsheet

Hi Everyone,

I'm happily using front accounting in the UK for 4 small companies. I'd love to stick with it if possible.

Is anyone actively developing an extension to give us the functionality required by HMRC after April? If not, is there a plan to support it in the future?

If nobody has the time to develop it, perhaps we can crowd-fund the development? I for one would be up for contributing financially to such an effort.

Hi,

Found https://developer.service.hmrc.gov.uk/api-documentation/docs/api/service/vat-api/

The API is fairly simple. There would appear to be 2 issues. One that front accounting needs to have OAuth2 embedded in order to authenticate the HMRC - and the chart of accounts will need to specifically identify those transactions and VAT that relate to other EU countries. So the current Tax Report isn't quite comprehensive enough.

Cheers

I've created a post in the jobs offers board to see if we can find an interested developer.

If you would like this functionality to be developed, and are willing to contribute to the project (even if in a very small way) please respond here so I can gauge interest!

Dx

Hi all, new here on the forums but have been using FA since 2013, I have a number clients/companies I use it in, two of them are VAT registered so finding a solution to this would be beneficial.

I have subscribed to HMRC as a developer and read through some of the information, this is an update of my findings so far.
As vernonr suggests they are using OAuth2 in the authorisation/flow process.

The identification of EC VAT Transactions is something I feel we should be able to cope with , maybe with report change and flagging a supplier record as an EC supplier.

Background...

I also have a client that uses a high profile package, and as a result of MTD has had to spend £1500 pa on upgrading the system to a 10 user support contract to get their MTD module, being involved in a couple of the meetings it was frustrating to me and obvious as to why they had implemented in the way they had, and I concluded it was to maximise this opportunity for their financial gain etc. (It may also be they were involved in helping to develop the spec in this direction as part of a software focus group or something.)

Now the above may be true, the reality is that there is a reason why all of the software offerings appear to be based on cloud solutions and monthly fees. The system is designed around a MAN IN THE MIDDLE approach, meaning you communicate your data to an authorised provider/application and that application interacts with the HMRC API on your behalf.

Even the bridging software solutions are the same, and that is why they ask you to create an account with them, I am looking at the suggestion made by dls and this looks to be the best short term quick fix.

https://www.taxoptimiser.co.uk/Features/MTDVAT

Go to the site and watch the video, listen very carefully to the commentary and you will see that the process is,

1) Create an account with them
2) Authorise them to send data to HMRC on your behalf
3) Create a spreadsheet using their template
4) CUT and PASTE your figures into the spread sheet so you have box's 1-9 ready
5) drop the spreadsheet onto their portal, you are logged into, and they will submit it.
6) They will return a confirmation you can save/print.

or www.xlvat.com - another bridging package.

Currently the version of FA I use is 2.3.13. My current process is as follows (already raised by others), when I did my VAT returns I created a spread sheet, filled it with the data from a few FA reports along with any adjustments and then created a subsection for box's 1-9, which I then used when I logged onto HMRC for my VAT account and file the VT100.

So the tax optimiser is the closest solution, reasonably priced and a simple way to comply IN THE SHORT TERM.

WARNING !!!! This is not a long plan, it uses HMRC's 12 month soft landing plan where they allow for a CUT & PASTE operation as a valid digital transfer method. As I read it they are committed to removing this option making it only possible for complete electronic generation of the VAT return in the future.

So we still need a better solution in the next 12 months...… but using bridging software gives us some time.

I would also be interested to know how other people are hosting FA, I am using a wamp installation on a local computer resource, and then logging into it over my local network.  My local server does not have externally facing public domain name (MORE ON THIS IN PART2)

In PART2 I will discuss my progress so far …

ps.. before I get any negative responses I am not affiliated in any way with the taxoptimiser people, it's just the simplest I have seen so far, it's free to start with (just my opinion, please do your own research before making any decisions.)

The reason for this post is to start a more detailed discussion on MTD integration into Front Accounting this is my goal.

Hello,

During a meeting between Janusz (@itronics) and I this last weekend we decided that Janusz should look into this. He already has done a test module. More to come in a while.

/Joe

Hello all,

I was just looking at the post from @apmuthu about the number of downloads (link below) and it seems UK has one of the high numbers of downloads(and I believe users) who all eventually might need VAT MTD module.

https://sourceforge.net/projects/frontaccounting/files/stats/map?dates=2020-02-04+to+2020-02-06

I see that a number of us started the discussion but, not sure how far we got. I am not tech minded but more than happy to help develop a module which could benefit all. I can definitely help in terms of VAT related calculations etc and little bit of coding.

Hope to hear soon.

Regards,
GJ