Home For accounting professionals General accounting discussion
Current updates regarding coronavirus (Covid-19) and the precautions AAT are taking will be continually updated on the below page.

Please check this link for the latest updates:
We hope you are all safe and well and if you need us we will be here. 💚


Accounting for Mixed VAT

T.C.T.C. Experienced MentorRegistered, Tutor Posts: 1,448
I have just taken on a new client who sells both standard and zero rate items, but does not separate the sales - they are a market stall with no cash register.
The way they are working out the VAT on sales is as follows: Total sales (zero rated purchases, plus mark-up, ie sale price) = sales including VAT. This figure is then used to work out the total VAT payable. Do you understand what I am saying - hope so. :001_unsure:
I think it makes sense, but have never used this method. Do you think this is acceptable or should I get VAT to approve it?

Comments

Sign In or Register to comment.