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Sage nominal codes

dziumbrauskaitedziumbrauskaite Feels At HomeRegistered Posts: 42
Hey guys,

Can someone help me with nominal codes in Sage. Im not good at choosing the right code...
As I understand for the sales I need to use 4000 nominal code, but when it comes to choose account code for cash sales zero-rated and cash sales standart rated, then Im confused... and which code then I need to use for VAT?

Thanks!!!

Comments

  • sdvsdv Experienced Mentor Registered Posts: 585
    Hey guys,

    Can someone help me with nominal codes in Sage. Im not good at choosing the right code...
    As I understand for the sales I need to use 4000 nominal code, ..........................

    Sage codes are organied in a very logical way

    If you think about the Balance Sheet, there are 5 classes of accounts

    Fixed assets ( sage accounts starts with 00 and thet are between 00 and 999)
    Current Assets ( sage accounts starts with 1000 and thet are between 1000 and 1999)
    Liabilities & Current Liabilities ( sage accounts starts with 2000 and thet are between 2000 and 2999)
    Capital ( sage accounts starts with 3000 and thet are between 3000 and 3999)


    If you think about the Profit & Loss, there are 4 classes of accounts

    Sales ( sage accounts starts with 4000 and thet are between 4000 and 4999)
    Purchases ( sage accounts starts with 5000 and thet are between 5000 and 5999)
    Direct expenses for Sales and Purchases ( sage accounts starts with 6000 and thet are between 6000 and 6999)

    Expenses ( sage accounts starts with 7000 and thet are between 7000 and 7999)

    EXPENSES - Subdivided as

    Wages ( sage accounts starts with 7000 and thet are between 7000 and 7099)
    Property ( sage accounts starts with 7100 and thet are between 7100 and 7199)
    Heat & Light ( sage accounts starts with 7200 and thet are between 7200 and 7299)
    Motor Expenses ( sage accounts starts with 7300 and thet are between 7300 and 7399)
    Travel & Entertainment ( sage accounts starts with 7400 and thet are between 7400 and 7499)
    Office Expenses ( sage accounts starts with 7500 and thet are between 7500 and 7599)


    .........and so on

    .........., but when it comes to choose account code for cash sales zero-rated and cash sales standart rated, then Im confused... and which code then I need to use for VAT?

    Thanks!!!

    Sales are sales and therefore has to be allocated to a/c code 4000. You can classify different types of sales to different a/c codes but not for different VAT types. ( Vat type of sales information is easily obtained from printing Sales/Purchase day book reports)

    When posting the sales invoices, it is there that you have to be carefulf to identify the correct rate of VAT.
  • dziumbrauskaitedziumbrauskaite Feels At Home Registered Posts: 42
    Thank you for your answer, but it woulndt help me to answer my question... :(
  • JanJan Experienced Mentor Registered Posts: 654
    Do you mean choosing T1, T0 or T9 codes for VAT, rather than the nominal?

    T1 for standard rate, T0 for zero rated, T9 for non taxable supplies/services such as bank charges/insurance.
  • A-VicA-Vic Expertise Guaranteed Registered Posts: 6,970
    the way i look at codes for sage are T1 (purchase or sales invoices, expenses) is to reclaim or pay vat. T0 if you want to show on the bill on the vat return you have paid a bill but with no vat on it (water bill Post) and T9 if you dont want this showing on the VAT return i.e(Tax paid NI)
  • BluewednesdayBluewednesday Font Of All Knowledge Registered Posts: 1,624
    T9 doesn't appear on the VAT return and calculates no VAT. T0 does appear on the vat return at zero rate.

    If you look at the help on Sage they tell you which codes to use and when.
  • A-VicA-Vic Expertise Guaranteed Registered Posts: 6,970
    sorry my bad we configured the codes blue wednesday is correct standard codes is as she says
  • dziumbrauskaitedziumbrauskaite Feels At Home Registered Posts: 42
    thank you guys for your replies!!! But I think in the question is ment account codes rather then VAT codes as T1, T0 or T9.
    The question: Write on the analysis the account code(s) you intend to use in the main ledger.You should distinguish between cash sales and credit sales by using different revenue codes in the main ledger. The invoices already processed refer to credit sales.
    Analysis of cash sales

    Account code £
    Cash sales: zero-rated ? 11000
    Cash sales: standart rated ? 28500
    VAT ? 1700

    Maybe some of you can help me?...
    Thank you!
  • A-VicA-Vic Expertise Guaranteed Registered Posts: 6,970
    can you try and explane what you need it for and maybe someone could help :)
  • coojeecoojee Experienced Mentor Registered Posts: 794
    If you've already entered some credit sales via the day books to account code 4000 then any further credit sales can be posted to that account. If you now want a seperate account to show cash sales then set up a new one using 4001 (remember to change the account description). If you also wanted to set up a seperate account for zero rated sales (although this is not normally done) you could use the next Sage code, 4002 and again change the description, any entries you made to this account would need to be made using a tax code of T0.
  • coojeecoojee Experienced Mentor Registered Posts: 794
    sdv wrote: »

    Sales are sales and therefore has to be allocated to a/c code 4000. You can classify different types of sales to different a/c codes but not for different VAT types. ( Vat type of sales information is easily obtained from printing Sales/Purchase day book reports)

    When posting the sales invoices, it is there that you have to be carefulf to identify the correct rate of VAT.

    Normally what sdv has said would be correct, you wouldn't ordinarily post different sales types to different sales codes purely based on whether they were cash/credit/zero rated etc. However, I know where you're coming from with this question as it's in one of the Unit 35 papers. What they're asking you to do in that paper isn't something that you would normally do on Sage, I don't think anyone at the AAT has ever used Sage before.
  • dziumbrauskaitedziumbrauskaite Feels At Home Registered Posts: 42
    coojee wrote: »
    Normally what sdv has said would be correct, you wouldn't ordinarily post different sales types to different sales codes purely based on whether they were cash/credit/zero rated etc. However, I know where you're coming from with this question as it's in one of the Unit 35 papers. What they're asking you to do in that paper isn't something that you would normally do on Sage, I don't think anyone at the AAT has ever used Sage before.

    Hey Coojee,

    yes, that question is of the Unit 35... Like you I agree with sdv. But for this question I probably would need to set diferent account codes for different sale types...
  • MonsoonMonsoon Font Of All Knowledge FMAAT, AAT Licensed Accountant Posts: 4,071
    coojee wrote: »
    Normally what sdv has said would be correct, you wouldn't ordinarily post different sales types to different sales codes purely based on whether they were cash/credit/zero rated etc. However, I know where you're coming from with this question as it's in one of the Unit 35 papers. What they're asking you to do in that paper isn't something that you would normally do on Sage, I don't think anyone at the AAT has ever used Sage before.

    Agree with this. What an odd question.

    However:

    You can just allocate the next code number if you want to differerentiate between cash sales, credit sales etc.

    In fact, by default, Sage is set up as
    4000 Sales Type A
    4001 Sales Type B
    4002 Sales Type C
    4003 Sales Type D

    You can just rename the accounts.

    Ditto with purchases, use 5000, 5001, 5002, 5003 etc

    The VAT on these sales will automatically get posted to the VAT control accounts, only the net appears in the P&L nominal codes.
  • A-VicA-Vic Expertise Guaranteed Registered Posts: 6,970
    after reading and reading then re-reading do you mean you want to know how much cash sales there has been well in that case wouldnt it just be bank, petty cash, recept and enter the sale as a nominal code of 4000 - 4999 with either a t1 t9 or t0 vat code?

    The petty cash sale as there are no customers listed needed????
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