| [BCB:42:CSat FB drive:ECB]  NOTE: The new VAT Codes listed in this article are the default numbers that will be automatically created in Sage 200cloud Professional 2020 R2 (and above), Sage 200cloud Standard, Sage for Education and Sage 200 Extra Online Update (2016 SP4) - further information can be found here. For information on creating these VAT Codes for older versions of Sage 200 click here.
NOTE: The information in this article is provided for guidance only, it is important that you use the correct VAT treatment depending upon your specific circumstances.
Key | Abbreviation | Description | | ROI | Republic of Ireland | | UK | United Kingdom | | GB | Great Britain (England, Scotland and Wales) | | NI | Northern Ireland | | EU | European Union | | ROW | Rest of World |
Trading goods with the EU/ROW Goods – Imports | From | To | Business / Customer | Goods / Services | UK VAT Treatment | Sage 200 | Rate | | EU / ROW | GB | Business | Goods over the UK Low Value Import Scheme. | VAT has been postponed | New VAT code 181,2 Boxes 1, 4 & 7 | 20% | | VAT has not been postponed (Import VAT paid at customs) | VAT Code 13 Boxes 4 & 7 | 20% | | Goods under the UK Low Value Import Scheme. | Reverse charge | New VAT code 191,4,5 Boxes 1, 4 & 7 | 20% | 1 - In versions prior to Sage 200cloud Professional 2019 Summer Enhancements, it is only possible to use the necessary Reverse Charge term on one VAT Code therefore a single VAT Code will need to be used to account for any existing reverse charge, Postponed Accounting VAT and VAT under the UK Low Value Import Scheme. For further information click here 2 -If you have opted into Postponed VAT Accounting with the HMRC, the new VAT code should be applied to the goods on the purchase invoice from your supplier. This will apply notional VAT which simulates both the VAT that would have been paid at customs (via your shipping agent or courier if Postponed VAT Accounting was not in effect) and later VAT reclaim. 3 - This is the code that would be used for the VAT element of the import, goods would generally be zero-rated, using VAT code 2. 4 - This VAT Code needs to be manually created, for further information on this click here 5 - If you are processing under the Low Value Import Scheme, the new VAT code should be applied to the goods on the purchase invoice from your supplier. This will apply notional VAT which simulates both the VAT that would have been paid at customs (via your shipping agent or courier if the Low Value Import Scheme was not in effect) and later VAT reclaim.
Further Informatio n on processing import VAT can be found here. Further information on postponed accounting can be found here.
Services – Purchase | From | To | Business / Customer | Goods / Services | UK VAT Treatment | Sage 200 | Rate | | EU / ROW | GB | Business | Services | Reverse charge | New VAT code 16 Boxes 1, 4, 6 & 7 | 20% |
Goods – Exports | From | To | Business / Customer | Goods / Services | UK VAT Treatment | Sage 200 | Rate | | GB | EU / ROW | Both | Goods | Zero Rated | VAT code 2 Box 6 | 0% |
Services – Sale | From | To | Business / Customer | Goods / Services | UK VAT Treatment | Sage 200 | Rate | | GB | EU / ROW | Business | Services | Zero Rated | VAT code 2 Box 6 | 0% | | Customer | Services | UK VAT charged by seller | VAT Code 1 Boxes 1 & 6 | 20% |
Trading goods with the Northern Ireland Our current understanding is that GB/NI transactions will continue to be treated as domestic sales and purchases from a VAT perspective. [BCB:22:IE - Sales message :ECB] [BCB:48:Accounts Irish VAT disclaimer:ECB] |