VAT Flat Rate

JBBookkeepingPlus

Can anyone please help. I am having a brain malfunction. When doing manual bookkeeping (on excel, really) and when analysing out purchase invoices, do I need to just analyse the gross amounts and not the net amount as usual. I have a new client that is on the Flat Rate VAT Scheme and am having real difficulty remembering. Many thanks.

reader

Analyse out the gross purchase amounts because you can't reclaim the input VAT on the flat rate scheme.

You only need to analyse out the net when you're reclaiming the VAT, i.e. on the standard invoice/cash schemes.

JBBookkeepingPlus

Thank you.

That's great. Thank you so much for your help. That is what I thought I had to do, and then started to question myself. Should trust my instincts more.