Results 1 to 4 of 4

Thread: When does Input VAT get added? On GRN or only on PN?

  1. #1
    Bronze Member michellepace's Avatar
    Join Date
    Oct 2018
    Location
    South Africa
    Posts
    131
    Thanks
    15
    Thanked 3 Times in 3 Posts

    Question When does Input VAT get added? On GRN or only on PN?

    Hi there,

    I entered in a GRN for the month of May. My collegue paid the supplier but actually forgot to create a supplier invoice (PN). Of course we have closed off the month of May for VAT.

    Question 1:
    Will the VAT already have been allocated in the month of May when we did the GRN? So if I go and do the supplier invoice for the month of May, it's not going to throw my VAT out?

    Question 2:
    If I wanted to check for myself, where can I go and check to see if the GRN did infact allocat it's vat to our May INPUT Vat?

    Thanks very much in advance,
    Michelle

  2. #2
    Diamond Member Neville Bailey's Avatar
    Join Date
    Nov 2010
    Location
    Westville, Durban
    Posts
    2,760
    Thanks
    44
    Thanked 451 Times in 396 Posts
    Quote Originally Posted by michellepace View Post
    Question 1:
    Will the VAT already have been allocated in the month of May when we did the GRN?
    No, the input VAT only gets processed when the supplier invoice is processed.

    Quote Originally Posted by michellepace View Post
    So if I go and do the supplier invoice for the month of May, it's not going to throw my VAT out?
    No, it will not. Because you have already closed off VAT for May, the VAT for the supplier invoice will be added to the next VAT period, even if the supplier invoice is dated in May.

    Quote Originally Posted by michellepace View Post
    Question 2:
    If I wanted to check for myself, where can I go and check to see if the GRN did infact allocat it's vat to our May INPUT Vat?
    See my comments above.
    Neville Bailey - Sage Pastel Accounting Consultant
    www.accountingsoftwaresupport.co.za
    neville@accountingsoftwaresupport.co.za
    IronTree Online Solutions

    "Give every person more in use value than you take from them in cash value."
    WALLACE WATTLES (1860-1911)

  3. #3
    New Member
    Join Date
    May 2019
    Location
    Cape Town
    Posts
    2
    Thanks
    0
    Thanked 0 Times in 0 Posts
    I been wanting to ask same question since we encounter same problem. happy to get the answer.

  4. #4
    Bronze Member michellepace's Avatar
    Join Date
    Oct 2018
    Location
    South Africa
    Posts
    131
    Thanks
    15
    Thanked 3 Times in 3 Posts
    Hi Alli, this really is helpful forum. I wanted to add to the above: there is a way to workout/check when the input vat gets added, and it’s very simple.

    Open the Demo company, do a GRN with today’s date. Now check if the vat has been added via: View > .i think General Ledger > Tax > reports / current period. You’ll see it’s not there. Only PN’s are there and returns and debits. Repeat and make a supplier invoice (PN). Finally make a supplier invoice with a date coinciding in a closed tax period... view the current tax report again - the PN’s vat should be in there

    (Or even better than using the demo company is to make a backup of your own, play around with above, once done restore the backup. I always find it much easier to learn using your own data)

Similar Threads

  1. [Question] vat(value added tax) rounding
    By Marvin99 in forum Accounting Forum
    Replies: 17
    Last Post: 01-Nov-16, 09:42 PM
  2. pastel invoices added up incorrectly
    By cashmere in forum Accounting Forum
    Replies: 1
    Last Post: 13-May-15, 02:29 PM
  3. Thread prefix function added
    By Dave A in forum Administrative issues
    Replies: 1
    Last Post: 09-Apr-08, 10:57 PM
  4. News Headlines page added.
    By I Robot in forum News Archive
    Replies: 3
    Last Post: 21-Jun-06, 07:56 PM

Tags for this Thread

Did you like this article? Share it with your favourite social network.

Did you like this article? Share it with your favourite social network.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •