How to: Enter Opening Balances for VAT Deferment
You can enter opening balances related to VAT deferment for purchase transactions and sales transactions in the VAT Opening Journal. For more information, see VAT Opening Journal Table.
The following procedure describes how to enter opening balances for VAT deferment in a purchase transaction, but the same steps also apply to entering opening balances for VAT deferment in a sales transaction.
To enter opening balances for VAT deferment in a purchase transaction
In the Search box, enter VAT Opening Journal, and then choose the related link.
Fill in the required fields as described in the following table.
Field Description Batch Name
The batch for which you want to create the VAT opening journal.
Transaction Type
Specify Purchase to indicate the transaction type.
For a sales transaction, specify Sale to indicate the transaction type.
Document No.
The document number for the transaction.
Posting Date
The posting date for the VAT opening transaction.
Type
Fixed Asset – If Type is Fixed Asset, then select the date of purchase for capital goods in the Date of Purchase (Capital Goods) field and select the fixed asset number in the No. field.
–or–
Item – If Type is Item, then select the Fixed Asset check box on the Tax Information FastTab in the Item Card and select the item number in the Item Ledger Entry No. field in the VAT Opening Journal window.
Source No.
The source number for the posted purchase transaction.
Location Code
The location code for the transaction to which the entry has been linked.
Quantity
The invoiced number of units.
Unit Price
The amount of the posted transaction.
Amount
The tax base amount for which VAT has been calculated. The value displayed in this field is calculated based on the value in the Quantity and the Unit Price fields.
Tax %
The tax percentage is updated automatically from the Sales Tax Setup window. Based on the tax percentage entered in this field, the input credit or output tax amount is calculated in the Input Credit/Output Tax Amount field.
No. of Deferment Settled
The number of deferments settled, if the previous deferments are settled.
Non ITC Claimable Usage %
The percentage rate for non-ITC-claimable usage. If you want to allocate non-claimable VAT for the item, then you must enter a percentage in this field. This field is not applicable to output VAT.
Note
In the Type field, if you specify Item and select the item ledger entry number in the Item Ledger Entry No. field, the values in the Quantity, Unit Price, Amount, and Tax % fields are updated automatically. If you want to enter the opening balance of input VAT related to the item, then enter the opening balance of an item using the Item Journals window with the respective locations.
On the Navigate tab, in the Post group, choose Post.
Choose the OK button.
See Also
Tasks
How to: Set Up VAT Opening
How to: Enter Opening Balances for Input VAT and Output VAT
Concepts
VAT Overview
VAT Opening Overview