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vat treatment

cazmarbcazmarb MAAT Posts: 20
We have an invoice for some goods. The deposit was paid by an employee so we have reimbursed her. The balance has been paid direct to the company. How do I treat the vat.

Comments

  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,431
    Is the invoice made to the company?
  • cazmarbcazmarb MAAT Posts: 20
    The invoice is made out to our company but we had to pay the deposit quickly so an employee paid it on their card and we reimbursed them.
  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,431
    In that case I believe the VAT can be claimed by the company.
  • cazmarbcazmarb MAAT Posts: 20
    That’s good news
  • cazmarbcazmarb MAAT Posts: 20
    How would I enter the transactions on the purchase ledger. The invoice was £612. £300 paid to employee and £312 to supplier. These are gross figures.
  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,431
    Assuming standard rated supplies
    Enter purchase invoice
    Dr Purchases 510
    Dr VAT 102
    Cr trade creditors 612

    Enter payment of supplier
    Dr trade creditors 612
    Cr bank 312
    Cr other creditors (employee) 300

    Reimburse employee
    Dr other creditors 300
    Cr bank 300
    ashakantaxharma
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