SageForum for UK versions of Sage 50- Help and support.

Hello
Having reconciled the VAT for the period 0813, I was advised by the accountant to adjust my VAT figures to reflect VAT refund for booking cancellations over the past year or so, i.e. the VAT was already paid for bookings subsequently cancelled and he has the paperwork showing this.
I would like to solve this with journal entries -(1) I understand credit the VAT Liability NC 2200 and debit suspense NC 9998- is that right? (2) I also have to adjust the Box 6 Sales figure on the VAT return.
Will I debit the sales NC4000 and credit suspense NC 9998?
As I had already reconciled the VAT return before receiving this information, I have been unable to make adjustments in the Manage VAT feature in Sage accounts. Will the accounts tbe alright, or will I have to restore to a backup before I reconciled the VAT? I am reluctant to do this because I will have to reenter a few hours of transactions.
Thanks for your help.

As you have already reconciled it, it is probably better to leave it to the next return.

Otherwise

I would put on the credit notes "cancellation of booking" to reverse out the sales invoices and run the VAT return again and reconcile it again, add the two sage printed vat returns together and submit them as one.

You do not want to do it with journals as the invoices will still be outstanding on the customer accounts and you need to fix them at some point so you might as well do the whole thing now in one go.

Hi

Thanks for your prompt response. The credit note option sounds the best. Bearing in mind the VAT for that period is already reconciled, will I still be able to run another VAT return for the same period? It's the end of the company's financial in July, so it would be preferable if the reduction is done and dusted in last year's accounts. Also I have posted the adjusted VAT online already, so I would like to have these figures matching.

Thanks again.

You can run a second vat return for the same period, it will not pick up the transactions that are reconciled and on the original return just those you have added since.

Thanks so much. That worked a treat.

I also had another subsequent problem - I couldn't run VAT returns or restore data with a message re Transaction Email - I also found the answer to this problem on your forum and renamed queue.dta as you instructed and that worked.

Brilliant, many thanks.