how to post a vat invoice

[zoechiri]

Iam new to acct and pastel, I need help on journal entries to pass on a tax invoice. Do I split the cost and vat component or I just post a compound figure and reconCile after.

[Neville Bailey]

In Pastel, when you process a Tax Invoice, you do not process a journal as such. You process a Tax Invoice document, and then the system will process the necessary journals in the background.

To process a Tax Invoice, go to Process...Customers and you will see a Tax Invoice screen appear.

With regards to the VAT, you need to insert the VAT code (normally 01 for 14% Standard Rate) in the Tax column for each line item on the invoice. By default, you will enter the VAT exclusive amount and the system will then calculate and add the VAT component. It is possible to change this default to enable you to capture the VAT inclusive amount.

[zoechiri]

Thank u Neville how abt a sItuation our company buys for cash petty cash items like some stationery. The receipt shows tht the good has vat component. How do I post such and what are the journAl involved

[CLIVE-TRIANGLE]

zoechiri, please do not be offended but I earnestly recommend you attend at least an introductory course in Pastel as well as some or other basic accounting course.

I can only speculate as to how a company can entrust their accounting function to someone who is "new to it", but I urge you to take steps to empower yourself.