vat t account

VAT Control Account

DEBIT:
INPUT TAX (vat deductible)
i.e. tax on all your purchases from
Purchases day book,
Cash book expenses
Petty cash book expenses
offset by sales returns
Also bad debt relief

CREDIT;
OUTPUT TAX (vat payable)
i.e. tax on all your sales from
Sales day book
Cash book sales
offset by purchase returns

GP