[Clay]

Can anyone help me with keeping VAT accounts.

I would be grateful if someone could show me the blank record for purchases and sales they use. I am interested in either the paper based records or electronic spreadsheets.

My accountant wants me to use a paid for software package. I am reluctant to do this due to extra costs until 2022 when HMRC insist I do so. He is happy for me do complete my own quarterly returns.

Thank you and I hope you all had a safe and enjoyable Christmas.

[Womble]

Hi Clay,

I used to use a spreadsheet, but since it was set up for the flat rate VAT scheme (and you don't want to go there), it's not going to be all that helpful.

As a serious question, how much do you value your time? I use Free Agent for farm accounts (not because it's particularly suited to a smallholding, but because I also use it elsewhere, so it just made sense). I pay roughly £15 a month, and get automatic invoicing, a connection to my bank account, a mobile app for recording expenses and mileage, and a dial-in so my accountant can access everything without me having to send files back and forth. It also does all my VAT calculations for me, reminds me when a VAT return is due, and files it with a single click.

Sure, I could do all that using a spreadsheet, but I've got more interesting things to do with my time - haven't you?

[Clay]

Hi Womble,

Thanks for taking time to reply. Point taken about more interesting things to do. I suppose under normal circumstance I wouldn’t spend my time wrestling with spreadsheets and VAT. However with Covid I have hardly been off the holding so I have time on my hands.

[doganjo]

An excel spreadsheet for VAT is easy - sure it takes time to input everything - but if you do it say once a week it's not a big burden (depending on the volumes of sales and expenses)

Open a workbook for VAT - set up three worksheets in your workbook, one for input (purchases), one for output (sales) and one for VAT returns

In the Input sheet have columns for
  Date
  name of person paid
  total amount paid
  VAT charged
  Net amount
  Have another column for private purchases that are partly for the use of the smallholding showing the private part in that column including the proportion of VAT, and the smallholding vat in the vat column and the smallholding net amount in the net column

Total these every quarter and enter the figures in the VAT return sheet - either using formules if you are familiar with excel, but typing them in otherwise

I've done a very simple one and saved it as a pdf

[Clay]

Doganjo that’s great can I thank you very much for the spreadsheet which I will use for a template.

[Scarlet.Dragon]

DogandJo's done a good job of giving you the basics you need.

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[doganjo]

Doganjo that’s great can I thank you very much for the spreadsheet which I will use for a template.

Th excel version won't load on here but if you pm me an email address I'll send it to you, that'll save you setting it up

I;m not up these days on what is zero rated, standard rated and exempt, so you'll need to check that yourself Good luck!

[Clay]

Doganjo PM sent thanks.

I have got the standard rate, zero and exempt sussed. Just waiting for HMRC to accept my request for VAT registration but I think at the moment Govt organisations are stretched at the moment.