Where a payee has the Tax Type of Contractor, CIS or Payee Type of Deemed Contractor, VAT can be adjusted. This is used where the payee’s VAT status has changed and a retrospective adjustment is required.
| Excerpt |
|---|
|
How to Adjust VAT/GST |
|---|
1. | On the Pay Wizard – VAT stage, click the View button next to the relevant payee. The Payee Pay Details screen opens, with the VAT/GST section expanded. |  | 2. | The Value field displays the calculated VAT/GST by the system. This field cannot be edited. | | 3. | The Adjustment field is enabled to allow an adjustment to the calculated VAT/GST. This field can be positive or negative. If this field is disabled, this is because the VAT/GST Adjustments on Separate Payslip on the Pay Company has been checked on and the payee has other entries in the pay batch. A separate pay batch is required to enter the adjustment where the payee does not have any other data being processed. | | 4. | The Total field will display the Value plus the Adjustment. | | 5. | If the Adjustment field has a value that is not zero, a reason for the adjustment is required. | | 6. | Click Save. A confirmation message is displayed at the top of the screen to indicate that the manual item has been saved. | | 7. | Click Exit to close the Payee Pay Details screen. | |
The adjustment value is automatically included into the VAT/GST value which means that no changes to payslips to include the adjustment is needed. There are additional fields available in the document format designer to separate out these values, if it was desired to show these separately. |