Import VAT tax codes

Solution Properties

Solution ID:

200427112533011

Last Modified Date:

Tue Nov 19 14:40:29 UTC 2024

Taxonomy Path:

Case category//How do I...//governmental/legislative compliance

Author:

[email protected]

Import VAT tax codes - UK only

Description

Following the UK's withdrawal from the EU, you must treat all imports and exports the same for VAT purposes. This is regardless of their destination or origin.

Version 27.1 and above includes some new tax codes in the range T14 to T19, to make it easy to record EU and non-EU imports.

Cause

Resolution

Tax codes

The tax codes for import VAT are in your Sage software
By default, they're in the range T14 to T19. This can differ depending on the tax codes you already use
Associate a supplier with these tax codes. Therefore, use a purchase invoice (PI) or a purchase credit (PC) to record them. It's not possible to use a bank payment (BP) to record them

View the tax codes in your software

Click Settings then click Configuration then click Tax Codes

Code	Description	Box affected on the VAT Return
Code	Description	Net	VAT
T14	Import of goods - No VAT	7	N/A
T15	Purchase of services from ROW - Reverse charge	6 and 7	1 and 4
T16	Purchase of services from ROW - No VAT	7	N/A
T17	Import of goods - Under import reverse charge threshold	7	1 and 4
T18	Import of goods - Postponed VAT	7	1 and 4
T19	Import of goods - VAT not postponed	7	4

NOTE: To find out the postings made when you post a postponed VAT transaction.

Further information

For full details of the configuration of these tax codes, use our default tax codes article
If you import purchase invoices or credits, you need to make further postings when you use postponed accounting
In some scenarios, use can also use existing tax codes, such as T1 or T9. For more guidance, use our guide on Which tax code to use (UK only)

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